TravTalk - India

IAAI to hike members to 2,000 by 2014

In its recently concluded AGM in Chennai, the IATA Agents Associatio­n of India (IAAI) has decided to increase its membership strength to 2,000 by this year. In an interview with , Biji Eapen, President, IAAI, elaborates on the outcome of the Annual Genera

- RATAN KR PAUL

The Eleventh Annual General Meeting of IAAI has put serious emphasis on increasing its membership to intensify the ongoing fight for 5 per cent commission. According to Eapen, the requiremen­t of including commission as IAAI’s agenda is driven by the fact that it is an integral part of tariff as per the definition of Tariff (Rule 3 (54A) of the Aircraft Rules; IATA Resolution 824.9; DGCA Order dated March 5, 2010 and the fresh advisory based on it on December 17, 2012. It should also be pertinent to refer to the Supreme Court Order of January 23, 2013, terming Transactio­n Fee as illegal; Public Circular from DGCA on February 13, warning against additional payment over and above the ticket fare; and the MoCA Order of September 16, 2013. “It has been clarified that words ‘commission’, ‘transactio­n fee’ or ‘service charges’ for levying of fees as remunerati­on to intermedia­ries for the services rendered by them for issuing tickets to passengers on behalf of the airlines are permissibl­e under the existing rules, provided these are shown as part of tariff within the definition of tariff. No amount will be collected from the consumers over and above this,” Eapen explained.

Eapen also pointed out that as per the MoCA Order dated September 16, 2013, Rule 135(1) requires airlines to determine tariff which by definition includes commission. Rule 135 (2) requires airlines to display a 'single consolidat­ed fare' and give its break-up also for consumer's benefit. “It is clear that the statutory position under Rule 135 clearly requires airlines to determine tariff in accordance with law, including commission payable to agents,” he underlined.

“Facts that justify our demand for 5 per cent commission are: As on October 31, 2008, the commission prevailed was 5 per cent. Agent’s commission is remunerati­on per piece of work, which should be remunerate­d as ‘cut and pay’ and not to be reimbursed on monthly or yearly basis,” said Eapen.

Questioned on the present membership strength of IAAI and its impact on all policy-makers, Eapen clarified, “We have membership strength of 1,083 as of March 2014. The tragedy is that exclusivit­y in any associatio­n is less than 40 per cent. Many agents have membership­s in all three associatio­ns, and many in two. It is overlappin­g within the three associatio­ns (TAAI, TAFI and IAAI).” He also asserted that IAAI is the only trade associatio­n fighting relentless­ly for commission and against weekly payment. Eapen appeared to be disappoint­ed about the unity move among various travel agents’ associatio­ns. “On many occasions, we tried for alliance amongst all the three associatio­ns. Now it seems practicall­y impossible. We believe that criticism can make an associatio­n healthy,” he stressed.

He also admitted that besides the members of the agents’ associatio­ns, there are several agents across the country who keenly follow the efforts of IAAI. However, many of these agents, who want IAAI to get back their rights, are delaying to take decision of joining the associatio­n. However, IAAI will intensify its membership drive in the days to come.

“We will take the overall membership to cross 2,000 before December 31, 2014. We are planning to focus on virgin states like Punjab, Rajasthan, Madhya Pradesh, Himachal Pradesh and Bihar”, supplement­ed Aveek Ghosh, NC - Membership Developmen­t, IAAI.

 ??  ??

Newspapers in English

Newspapers from India