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WestJet Rewards to add $60 fuel surcharge to companion vouchers
Amid recent increases in global fuel prices, WestJet is making temporary changes to its WestJet Rewards loyalty program.
Starting April 8, the airline will introduce a temporary fuel surcharge of $60 on all bookings made with a companion voucher.
“This will be reflected in the “Other ATC” portion of companion voucher bookings, and we will continue to assess the surcharge and adjust as conditions allow,” airline spokesperson Julia Kaiser wrote in an email to PAX on Friday (April 3).
“Fuel is the largest contributor to airline operating costs, and a temporary surcharge helps us manage the recent surge in fuel prices,” Kaiser said. “While airfares can be adjusted and have greater flexibility in pricing, the nature of our companion vouchers does not allow for this same flexibility.”
Ripple effects
Rising prices are the newest sign of the economic ripple effects stemming from the United States and Israel’s war with Iran.
Global economies are grappling with disrupted energy exports caused by the closure of the Strait of Hormuz and damage to critical infrastructure in the region.
READ MORE: Air travel costs increase as fuel prices surge amid Iran conflict
As previously reported, airlines worldwide have warned that a surge in fuel prices could cost the airline industry hundreds of millions of dollars, leading to higher ticket prices and reduced flight routes.
Fuel typically makes up 20–25 per cent of airline operating expenses, second only to labour, and many airlines no longer hedge fuel prices, leaving them more exposed to sudden spikes.
Air Canada Vacations & Porter
Air Canada Vacations (ACV) announced its own measure this week to address rising fuel costs.
As PAX reported, a fixed $50 per-passenger surcharge will be applied to new ACV bookings that include a flight component starting April 6.
The fee will be applied and reflected within the selling taxes and surcharges at the time of booking, said ACV, noting that existing bookings will not be affected.
READ MORE: ACV implements $50 surcharge on sun destinations amid rising fuel costs
“This measure supports continued safe and reliable operations without compromising service quality,” wrote Elish Tait, national accounts manager at ACV, in a memo that was shared with PAX.
The tour operator, stressing its commitment to transparency with the trade, is urging travel advisors to contact their sales or key account manager with any questions or for additional context.
Porter Airlines has also taken measures to mitigate rising costs. Last week, the airline announced a temporary surcharge on VIPorter flight redemptions.
In a message sent to VIPorter members, the airline said the charge will be applied as a “Peak Surcharge” on all reward bookings, per passenger, each way.
Porter expects the charge to be temporary, saying it will be removed once oil prices stabilize.
“We want to be transparent about why this change is necessary. Fuel represents the highest cost of airline operations and this surcharge allows us to maintain the number of points required for redemption,” the airline said.
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