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Agents-Sing Air fight intensifies

The travel agents’ dissent with Singapore Airlines over payment of commission intensified, with the agents’ associations deciding to return their authority to issue its tickets.

Agents-Sing Air fight intensifies

The travel agents’ dissent with Singapore Airlines over payment of commission intensified, with the agents’ associations deciding to return their authority to issue its tickets, while also punishing members who issue them.

About 1,000 of the 1,350 registered International Air Travel Association (IATA) agents who can issue Singapore Airlines tickets have surrendered their authority. The associations are persuading the remaining 350 to follow suit.

However, the possibility of an indefinite strike against all international carriers, which are following Singapore Airline in not giving them 5% commission, was ruled out by two unions, the Travel Agents Association of India (Taai) and Travel Agents Fraternity of India (Tafi).

“We are talking to the remaining agents, persuading them to be a part of the protest and those who still agree to issue Singapore Airlines tickets will be boycotted,” said Ajay Prakash, national secretary, Tafi. “Once an association boycotts an agent, the agent will not be admitted to any associations hereafter and a resolution has already been taken on this,” he added.

The six travel agents associations, including Taai, Tafi and IATA Agents Association of India (IAAI) have 2,876 IATA registered agents.

The standoff began late in December, following Singapore Airline’s decision to scrap commissions to travel agents. It earlier paid 5% to travel agents, but now wants them to charge a transaction fee from the customers, in keeping with a global trend.

Besides Singapore Airlines, 13 others including Lufthansa, British Airways and Delta have also moved to a zero commission regime. Agents are still selling tickets for them.
The agents are targeting one airline at a time and Pradip Lulla, president, Tafi, said the association will take each airline on its own merit.

Singapore Airlines is standing its ground on this one. A statement from the airline said it was “committed and open” to continuing the dialogue with the agents. “We will continue to pursue the principle of transparency and freedom of choice that we extend to our customers,” it added. 

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