Seoul - The International Air Transport Association (IATA) confirms that we have received formal notification of a corrective recommendation from the Korea Fair Trade Commission (KFTC) regarding specific clauses in the Passenger Sales Agency Agreement (PSAA). The recommendation covers the process for amendment of the PSAA and the process by which travel agent commissions are set between each airline and travel agent. IATA acknowledges the recommendation and will carefully consider it and continue to engage with the KFTC.
IATA works closely with regulators around the world and is committed to comply with competition laws in all countries. We strongly believe the PSAA meets regulatory obligations and brings benefits to both airlines and travel agents globally. We welcome the opportunity to further clarify the role of IATA and the PSAA in enabling a globally connected air travel industry. IATA will continue to engage with the KFTC regarding the global implications of any changes to the Passenger Agency Program, in addition to the due diligence that IATA must follow in its established governance forums in order to consider and implement any changes to the PSAA.
We will respond to the KFTC within the deadline given.
For more information, please see our fact sheet on PSAA (pdf)
For more information, please contact:
Tel: +41 22 770 2967
Notes for Editors:
- IATA (International Air Transport Association) represents some 290 airlines comprising 83% of global air traffic.
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