US closes review of airlines' data privacy without seeking penalties
XLI•The US Transportation Department closed its review of the 10 largest airlines’ data privacy practices without penalties, saying it found no violations of applicable laws or departmental policies. The department reminded airlines to safeguard passenger data and avoid unlawful discrimination in dynamic pricing.
1. Review found no violations
The Transportation Department said in a memo dated September 4 that it had comprehensively evaluated the 10 largest US airlines’ data privacy practices and identified no violations. The department opened the review in March 2024 to examine how airlines collect and use passenger information.
2. Privacy concerns raised
Senator Ron Wyden criticized the department’s conclusion, saying it treated having a privacy policy and training as sufficient despite what he called clear evidence of abuses. In August, Wyden and Representative Shontel Brown said the Drug Enforcement Administration paid airline employees millions of dollars to obtain some Americans’ data, and that a database jointly owned by major US airlines had sold passenger records to government agencies including the IRS without warrants or court oversight.
3. Pricing guidance reiterated
The memo said airlines should avoid setting prices based on individual data and reminded them to safeguard passenger data, follow published privacy policies and prevent unlawful discrimination in dynamic pricing. Delta Air Lines has repeatedly denied using AI to set individualized prices.
