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WestJet, Air Canada passengers baffled after travel partners compensated $1,000, but they got zilch – CBC News

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Frederik van der Veen was confident he’d be compensated for his cancelled WestJet flight, which caused a 12-hour delay when flying home to Montreal from Puerto Vallarta, Mexico, in July.

After all, his wife and travel partner, Irma De La Luz Perez, had already applied for and received $1,000 compensation for the same flight. But, much to his surprise, WestJet rejected van der Veen’s claim, stating the flight disruption was “due to an operational issue” outside the airline’s control.

“[I’m] disappointed and kind of bewildered,” he said. “Why would they pay one and not the other if we’re on the same flight?”

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CBC News interviewed three WestJet and two Air Canada passengers who, when they applied for compensation, were flatly denied — even though their travel partner received $1,000 for the same flight disruption. 

“The rules aren’t working,” said Air Canada passenger Dave Marrone.

Following a flight cancellation in August, Marrone’s wife and travel partner, Kielyn, got $1,000 compensation for what resulted in a 19-hour delay in their return trip from London to Sudbury, Ont.

But Air Canada rejected Marrone’s claim for the same flight, telling him the cancellation was either outside the airline’s control or safety-related. 

“It does seem like it’s a real grab bag of sort of how it’s applied, how it works and who gets compensated,” said Marrone, who lives just outside Espanola, Ont. 

Kielyn and Dave Marrone were delayed by 19 hours when flying home from a trip to the U.K. in August. When they applied to Air Canada for compensation, only Kielyn received $1,000. (Dave Marrone)

Under federal rules, airlines only have to pay compensation — up to $1,000 — if a flight delay or cancellation is within an airline’s control and not required for safety reasons. 

Following this spring and summer’s travel chaos which sparked numerous flight delays and cancellations, many passengers complained to CBC News that they were unjustly denied compensation. Since April, more than 19,000 air passengers have filed complaints with the Canadian Transportation Agency (CTA) related to flight disruptions, according to the agency.

The flood of complaints prompted Transport Minister Omar Alghabra to repeatedly warn carriers to play by the rules.

“Airlines must respect travellers’ rights and compensate travellers who are eligible,” he said during a transport committee hearing in August. 

Airlines respond

Both Air Canada and WestJet have repeatedly told CBC News they do abide by the air passenger regulations. 

About two hours after CBC News inquired about Marrone’s case, Air Canada informed him it had re-evaluated his claim and that he would receive $1,000 compensation.

In another case, Air Canada compensated passenger Bob Hays last week — four months after he complained about being denied compensation even though his fiance got $1,000 for the same 24-hour flight delay in June. 

“It was frustrating,” said Hays, who lives in Prince Rupert, B.C. “It’s almost comical, but it’s not comical that two people can be on the same flight and get different decisions.” 

In an email, Air Canada spokesperson Peter Fitzpatrick blamed both mismatches on “a processing error.”

WATCH | Airlines launch legal battle over customer compensation decisions: 

Air Canada, WestJet fighting customer compensation decisions

15 days ago

Duration 2:12

Both WestJet and Air Canada launch legal battles to appeal recent decisions ordering them to compensate passengers. Experts say if the airlines are successful, it could impact other claims.

WestJet said it had erred in the cases of all three passengers CBC News interviewed, but that in two cases, including van der Veen’s, the airline had paid out $1,000 to the passengers’ travel partners by mistake.

“We apologize for the confusion and understand the frustration any discrepancies may have caused,” said spokesperson Madison Kruger in an email. 

That means van der Veen won’t be getting any cash. However, he still believes he’s owed compensation, because WestJet never provided details about the “operational issue” beyond its control that caused his flight cancellation.

“What are they talking about?” said van der Veen. “It’s a bit of a gong show.”

Paul Stephenson and Lisa head were both delayed 18 hours when flying home from London. When they applied to Air Canada for compensation, only Head received $1,000. (Paul Stephenson)

Following CBC News’ inquiry this week, one WestJet passenger did get $1,000 compensation: Paul Stephenson of Salt Spring Island, B.C. Previously, only his travel partner, Lisa Head, was compensated for the 19-hour delay they endured when flying from London to Victoria in January.

In March, WestJet told Stephenson he didn’t qualify for compensation because his flight disruption had been impacted by weather. Then in April, after he pointed out that his partner got compensation for the same flight, WestJet rejected Stephenson’s claim again and said the case was closed. 

“It’s pretty poor customer service,” he said. “The Canadian Transportation Agency needs to come down a lot harder on airlines and enforce the regulations regarding compensation.”

WestJet hit with fines

In September, the CTA — Canada’s transport regulator — doled out its first fines to an airline for violating the compensation regulations. The recipient, WestJet, was fined for 55 violations in January for failing to provide compensation or an explanation why compensation was denied within 30 days of a passengers’ claim. 

The 55 fines ($200 each) totalled $11,000. Former Air Canada executive John Gradek argues that’s not enough of a deterrent for a major airline. 

“It’s really just a token slap on the wrist to basically say, ‘You naughty boys — or girls,'” said Gradek, a lecturer and program co-ordinator for the aviation management program at McGill University.

He said the CTA should look to the U.S. Department of Transportation, which this week announced it is assessing more than $7.25 million US in penalties against six airlines for “extreme delays” in providing flight refunds.

“You’ve got to get the airlines’ attention,” said Gradek. “The U.S. Department of Transportation now is saying, ‘OK, we’re playing hardball.'”

WestJet did not comment on the fines.

The CTA said that if the airline commits the same violation again within the next four years, it will face steeper penalties. The agency added that, when it comes to consumer protection, its main focus is resolving passenger complaints to help them get what they’re entitled to. 

Van der Veen has filed a complaint with the CTA and is hoping he’ll finally get the compensation he feels he’s owed. 

According to the new air passenger regulations, the amount of compensation for a flight disruption will be based on the amount of time that a traveller is delayed before reaching their final destination. (CBC)

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Calgary breaks all-time record in housing starts but increasing demand keeps inventory low – CBC.ca

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Soaring housing demands in Calgary led to an all-time record for new residential builds last year, but inventory levels of completed and unsold units remained low due to demand outpacing supply.

According to the latest report from Canada Mortgage and Housing Corporation (CMHC), total housing starts increased by 13 per cent in Calgary, reaching a total of 19,579 units with growth across all dwelling types in the city.

That compares to a decline of 0.5 per cent overall for housing starts in the six major Canadian cities surveyed by CMHC.

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Calgary also had the highest housing starts by population.

“Part of the reason why we think that might have happened is that developers are responding to low vacancies in the rental market,” said Adebola Omosola, a housing economics specialist with CMHC.

“The population of Calgary is still growing, a record number of people moved here last year, and we still expect that to remain at least in the short term.”

Earlier this year, the Calgary Real Estate Board also predicted that demand, especially for rental apartments, wouldn’t let up any time soon. 

Industry can cope with demand, expert says

According to numbers from the report, average construction times were higher in 2023 for all dwelling types except for apartments.

The agency’s report suggests the increase in the number of under-construction residential projects might mean builders are operating at or near full capacity.

However, there’s optimism the construction industry can match the increasing need.

Brian Hahn, CEO of BILD Calgary Region, said despite concerns around about construction costs, project timelines and labour shortages, the industry has kept up with the demand for new builds.

Demand is expected to remain robust, but the construction industry can keep up, according to BILD Calgary region CEO Brian Hahn.
Demand is expected to remain robust, but the construction industry can keep up, according to BILD Calgary Region chief executive officer Brian Hahn. (Shaun Best/Reuters)

“I’ve heard that kind of conversation at the end of 2022 and I heard it in 2023,” Hahn said.

“Yet here we are early in 2024, and January and February were record numbers again.”

Hahn added he believes the current pace of construction will continue for at least the next six months and that the industry is looking at initiatives to attract more people to the trades.

Increase in row house and apartment construction

Construction growth was largely driven by new apartment projects, making up almost half of the housing starts in Calgary in 2023.

The federal housing agency says 9,034 apartment units were started that year, an increase of 17 per cent from the previous year. Of those, about 54 per cent were purpose-built rentals.

Apartments made up around two-thirds of all units under construction, CMHC said, with the total number of units under construction reaching 23,473.

Growth, however, was seen across all dwelling types. Row homes increased by 34 per cent from the previous year while groundbreaking on single-detached homes grew by two per cent.

“Notwithstanding challenges, our members and the industry counterparts that support them managed to produce a record amount of starts and completions,” Hahn said.

“I have little doubt that the industry will do their very best to keep pace at those levels.”

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Ottawa real estate: House starts down, apartments up in 2023 – CTV News Ottawa

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Rental housing dominated construction in Ottawa last year, according to a new report from the Canada Mortgage and Housing Corporation (CMHC).

Residential construction declined significantly in 2023, with housing starts dropping to 9,245 units, a 19.5 per cent decline from the record high observed in 2022. But while single-detached and row housing starts fell compared to 2022, new construction for rental units and condominiums rose.

“There’s been a shift toward rental construction over the past two years. Rental housing starts made up nearly one third of total starts in 2023, close to double the average of the previous five years,” the report stated.

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Apartment starts reached their highest level since the 1970s.

“The trend toward rental and condominium apartment construction follows increased demand in these market segments due to population growth, households looking for affordable options, and some seniors downsizing to smaller units,” the CMHC said.

Demand from international migration and students, the high cost of home ownership, and people moving to Ottawa from other parts of Ontario were the main drivers for rental housing starts in 2023. The CMHC says rental and condominium apartment starts made up 63 per cent of total starts in 2023, compared to the average of 37 per cent for the period 2018-2022.

There was a modest increase in rental housing starts in 2023 over the record-high seen the year prior and a jump in new condominiums. The report shows 5,846 new apartments were built in Ottawa last year, up 2.1 per cent compared to 2022.

Housing starts in Ottawa by year. (CMHC)

Big demand for condos

The CMHC said condo starts reached a new high in 2023, increasing 3 per cent from 2022 numbers.

“As of the end of 2023, there were only 13 completed and unsold condominium units, highlighting continued demand for new units,” the CMHC said.

Condominum starts increased in areas such as Chinatown, Hintonburg, Vanier and Alta Vista, as well as some suburban areas like Kanata, Stittsville, and western Orléans. Condo apartment construction declined in denser parts of the city like downtown, Lowertown and Centretown, the report says.

Taller buildings are also becoming more common, as the cranes dotting the skyline can attest. The CMHC notes that buildings with more than 20 storeys accounted for nearly 10 per cent of apartment structure starts in 2022 and 2023, compared to an average of 2 per cent over the 2017-2021 period. The number of units per building also rose 7 per cent compared to 2022.

Apartment building heights in Ottawa by year. (CMHC)

Single-detached home construction down significantly

The number of new single-detached homes built in Ottawa last year was the lowest level seen in the city since the mid 1990s, CMHC said.

“The Ottawa area experienced a slowdown in residential construction in 2023, driven by a significant decline in single-detached and row housing starts,” the CMHC said.

Single-detached housing starts were down 45 per cent compared to 2022. Row house starts dropped by 38 per cent compared to 2022, marking a third year of declines in a row.

“Demand for single-detached and row houses also declined in 2023. Higher mortgage rates and home prices have led to a shift in demand toward more affordable rental and condominium units,” the report said.

There were 1,535 single-detached housing starts in Ottawa last year, 208 new semi-detached homes and 1,678 new row houses.

The majority of single-detached and row housing starts were built in suburban communities such as Barrhaven, Stittsville, Kanata, Orléans and rural parts of the city.

“Increased construction costs resulting from higher financing rates and inflation that occurred in 2022 and 2023 contributed to the decline in construction in the region,” the CMHC said. 

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Trump’s media company ticker leads to fleeting windfall for some investors

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A man looks at a screen that displays trading information about shares of Truth Social and Trump Media & Technology Group, outside the Nasdaq Market site in New York City, U.S., March 26.Brendan McDermid/Reuters

Possible confusion over the new stock symbol for former President Donald Trump’s Truth Social (DJT-Q) saw some investor brokerage balances briefly jump by hundreds of thousands of dollars on Tuesday, the first day Trump’s “DJT” ticker traded.

Several people complained on social media about briefly seeing the value of their DJT stock holdings on Charles Schwab platforms inflated to figures more in line with what they would be worth if the shares traded at the level of the Dow Jones Transportation Average.

Some users said they faced a similar issue in pre-market hours on Morgan Stanley’s E*Trade trading platform.

Shares of Trump Media & Technology Group opened Tuesday at $70.90, while the Dow Jones Transportation Average started the session at 15,937.73 points.

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For one trader, the Schwab brokerage balance jumped by more than $1 million due to the error, according to a screen grab shared on social media platform X. Reuters was unable to contact the trader or independently verify the brokerage balance.

“It sure was nice seeing millions in the account, even if it wasn’t real,” another person, going by the username @DanielBenjamin8, who faced the issue in his E*Trade account, posted on X.

Two X users and one on Reddit surmised that the inflated balances were due to the ticker symbol for the company being nearly identical to the index.

A spokeswoman for Charles Schwab said that certain users on some of Schwab’s trading platforms saw their brokerage balances briefly inflated due to a technical issue.

The issue has been resolved and investors are able to trade equities and options on Schwab platforms, she said. Schwab declined to describe the exact cause of the issue.

E*Trade did not immediately respond to a request for comment outside of regular business hours.

Trump Media & Technology Group and S&P Dow Jones Indices, which maintains the Dow Jones Transportation Average Index, did not immediately comment on the issue.

While social media users said the issue appeared to have been resolved, many rued not being able to cash out their supposed gains from the error.

“I better go tell my boss that I’m actually not retiring,” the trader whose account balance had briefly jump by more than $1 million, wrote on X.

Trump Media & Technology Group shares surged more than 36% on Tuesday in their debut on the Nasdaq that comes more than two years since its merger with a blank-check firm was announced.

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