Compensation for delayed flights Discussion Area

DavyPP

Hi all, we went through Resolver and every time they told me I could escalate to the next level I did so because Finnair weren't responding. When I finally got to the final escalation I received a message from the CAA saying that they couldn't help as my flight was from China to Finland and I would have to go through Finland's own regulatory body. I feared the worse but CAA sent a link to the Finnish body and I emailied them. Couple of days later Finnair are offering me 1200 euros (2 x 600). So keep going and thanks to Martin and the team.

JPears

Test post ,,,

Bulbasaur

I’m after advice once the compensation has been received.

Simply, our flight was cancelled last year and BA paid the set amount for our whole party. All good on that front. The compensation money came into our employers (nameless) and they did not pass it all on. Instead they took some money off to cover employers tax and NI and then paid us through payroll. We then incurred further losses through PAYE, NI, pension etc.

So my question is, should this have been processed through payroll at all? Should we have the various monies taken off or should the whole amount have been paid separately?

If this could be better answered elsewhere then please guide me as to where I should post this.

Bulbasaur

Is a bit awkward as it was a school trip. All students/parents were given all of their compensation money but staff had the deductions. Various lies have been told by our finance office to us and we’re talking to a brick wall currently. Looking for solid advice to escalate it further. Not huge sums but its the principle and the lies have been a red rag.

Tyzap

We are knowledgable here about the compensation rules but this is outside our sphere of expertise, so this is just my best guess.

EU261 flight delay compensation is payable to the passenger who was inconvenienced and not the person or company who paid for the flight. I don't believe that tax of any kind is payable on it, but I'm not a tax expert.

Of course a moral dilemma arrises if you were being paid by your employer at the time of the delay and they also paid.

legal_magpie

The compensation is not "income" and as such is not taxable in the same way that damages, say for injuries sustained inan accident, are not taxable. From what you say, your employers must have paid for the flights as otherwise did the compensation come to them? Without more details it's difficult to advise further.

Bulbasaur

Yes they paid for flight but payment was compensation not reimbursement. I see it as fair payment for being kept away from my family for an extra day. They’ve also stated they took money off us for costs incurred back at base, whilst we were away. There were no costs and so it’s just nonsense.

Thanks for your thoughts and yes I realise it’s probably outside of this group. Just wanted some reassurance from others before I argue back.

legal_magpie

Did they dock you a day's pay for the at work you missed.

legal_magpie

Actually, as you didn't pay for the flights in the first place, it could be argued that your employers didn't have to reimburse you at all as the contract was between them and the airline, so even if you are losing tax you're doing all right especially if you also got paid for the day you missed.

Savvy_Sue

Bulbasaur wrote: »

I’m after advice once the compensation has been received.

Simply, our flight was cancelled last year and BA paid the set amount for our whole party. All good on that front. The compensation money came into our employers (nameless) and they did not pass it all on. Instead they took some money off to cover employers tax and NI and then paid us through payroll. We then incurred further losses through PAYE, NI, pension etc.

So my question is, should this have been processed through payroll at all? Should we have the various monies taken off or should the whole amount have been paid separately?

If this could be better answered elsewhere then please guide me as to where I should post this.

Bulbasaur wrote: »

Is a bit awkward as it was a school trip. All students/parents were given all of their compensation money but staff had the deductions. Various lies have been told by our finance office to us and we’re talking to a brick wall currently. Looking for solid advice to escalate it further. Not huge sums but its the principle and the lies have been a red rag.

Best place for advice would be your trade union (s).