US airlines may face fresh scrutiny as Democrats plan probes into pricing and passenger rights

Following a significant midterm election victory, Democrats intend to scrutinize airlines regarding personalized pricing practices and passenger protection rules. The Federal Trade Commission has requested information from major airlines about the...

Agencies

The proposed scrutiny may cover airlines' use of customer data and artificial intelligence to set fares, while lawmakers could also push for compensation for flight delays, cancellation refunds, transparent fee disclosures and free family seating.


Following a strong victory in the midterm elections, Democrats in the US Congress are expected to investigate airlines' use of personalised pricing and push for the restoration of passenger protections withdrawn or left pending under President Donald Trump's administration.

The scrutiny could focus on whether airlines use passengers' personal data and artificial intelligence (AI) to determine individual ticket prices, alongside the removal of rules intended to protect travellers from additional charges and flight disruptions.

Also read: US Midterm elections 2026 highlights: Indian-Americans secure key wins; Pia Dandiya enters Congress, Ramaswamy loses


On October 28, the Federal Trade Commission (FTC) ordered Delta Air Lines, United Airlines and JetBlue Airways to provide information within 45 days on how personal data influence the prices offered to individual customers.

A separate congressional inquiry into surveillance pricing by Representative Frank Pallone, a Democrat from New Jersey, also covers major airlines. Pallone is expected to lead the House Energy and Commerce Committee in the next Congress.

The inquiries follow concerns from consumer advocates about airlines adopting increasingly sophisticated pricing systems. Airlines have traditionally used dynamic pricing, with algorithms adjusting fares according to market conditions. However, carriers have consistently denied using customers' private information to personalise prices based on what an individual might be willing to pay.
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Also read: Over 1000 flights delayed, 58 cancelled in US on Thursday amid bad weather: What travellers need to know about refund rules

Delta has been testing generative AI technology to determine some domestic flight prices. Its president, Glen Hauenstein, told investors during the company's second-quarter earnings call that the airline wanted to increase the technology's use from 3 per cent of its network to about 20 per cent by the end of the year.

Delta works with Israeli pricing technology firm Fetcherr, while JetBlue has faced scrutiny over its association with FLYR. JetBlue is also facing a class-action lawsuit over surveillance pricing.

Separately, the US Department of Transportation (DOT) closed a Biden-era review of airline privacy practices in October without penalties, saying it had found no violation of applicable laws or departmental policies.
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Passenger protection rules could return

Democrats could also seek to revive passenger protections that were withdrawn or left unresolved under Trump.
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In November 2025, the DOT formally withdrew a proposed rule that would have required airlines to compensate passengers for disruptions caused by the carriers. It included potential cash compensation of up to $300 for domestic disruptions and $775 for international disruptions, along with free rebooking, meals during lengthy delays and hotel accommodation for overnight disruptions.

A separate rule requiring airlines to disclose the full cost of tickets before purchase was vacated by the Fifth Circuit and later formally dismissed by Trump's DOT.

Another Biden-era proposal to ensure children aged 13 and younger could sit next to an accompanying adult without an additional charge when adjacent seats were available remains unfinalised.

Democrats could now push legislation to restore some of these protections. Senator Ed Markey has introduced bills seeking cash refunds for significant flight delays and cancellations and standards to prevent unreasonable airline fees.

Senator Mark Kelly has also introduced legislation to restart the rulemaking process requiring airlines to compensate passengers for significant delays.
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