Air passengers who are bumped from overbooked flights or who are forced to sit through long delays could receive up to $2,400 under proposed regulations for the government's promised passenger bill of rights.
The proposed compensation will use a sliding scale with larger airlines and longer delays requiring bigger compensation payments.
The Canadian Transportation Agency is releasing the draft regulations for public comment with an aim to having the rules take effect by next summer.
The regulations would also force airlines to automatically seat children under age 14 next to their parents rather than require them to pay an additional fee to select their own seats.
Scott Streiner, the chairman of the Canadian Transportation Agency, says a key aspect of the rules is an expectation that airlines clearly communicate with passengers about the status of their flight.
The rules making up the air passenger bill of rights being unveiled today lays out the minimum standards airlines will have to follow for situations in their control, lest they face a $25,000 fine.