Trump administration scraps Biden-era airline delay compensation plan

The Trump administration announced on Thursday that it will reverse a Biden-era proposal to compensate airline passengers for flight delays.

The plan, introduced in December under former President Joe Biden, sought to pay travelers $200 to $300 for delays exceeding three hours and up to $775 for longer disruptions. The measure had yet to be implemented.

"Consistent with Department and administration priorities, the Department plans to withdraw the (Advanced Notice of Proposed Rulemaking)," the US Department of Transportation said in a statement.

The move drew praise from Airlines for America, a trade group representing major carriers including American Airlines, Delta, and United.

"We are encouraged by this Department of Transportation reviewing unnecessary and burdensome regulations that exceed its authority and don't solve issues important to our customers," the group said.

Under current rules, airlines must compensate passengers only when flights are canceled, not delayed. The administration also indicated it is considering rescinding another Biden-era rule requiring ticket agents to disclose service fees.

President Donald Trump has previously criticized US passenger rail projects, claiming air travel is cheaper and more efficient.

"You take an airplane—it costs you $2," he said in February while attacking a California high-speed rail project.

Reiterating the claim in June, he added: "And I'd like to get somebody involved in the rail because look, personally, it should've never been built because you can fly there for $2."