Transport Minister Steven MacKinnon announced a plan Friday to clear a record-high backlog of air-travel complaints by outsourcing the resolution process [1].

The move aims to restore consumer protection and efficiency to a regulatory system that has struggled to keep pace with passenger grievances. By shifting the workload to external providers, the federal government intends to speed up resolution times for travelers.

MacKinnon said the initiative is part of the Spring Economic Update 2026. The minister said the current state of the complaints system is "broken" [3].

The government is facing a significant volume of unresolved disputes. Reports indicate the backlog of air-travel complaints is between nearly 100,000 [4] and over 100,000 [2].

Beyond outsourcing the process, the federal government will increase penalties for airlines that exhibit systemic violations. The maximum fine for such violations will be quadrupled to $1 million [1].

John Gradek, an aviation management expert, said the new measures to clear the backlog of air travel complaints is a step in the right direction [1].

The plan focuses on improving the speed of resolutions, while providing a stronger financial deterrent for airlines that repeatedly fail to meet passenger rights standards [1].

"The system is broken."

The decision to outsource the complaints process signals a shift toward a hybrid regulatory model to handle the surge in passenger disputes. By significantly increasing fines to $1 million, the government is attempting to move from a reactive posture to a deterrent-based strategy, placing a higher financial risk on airlines that ignore systemic service failures.