Lufthansa Group slashes agent commission

Three of the company's airlines will cut commission 40% on a range of tickets sold.

LUFTHANSA Group has become the latest airline company to reduce travel advisor remuneration in the Australian market, with agencies yesterday advised of the decrease from 5% to 3%.

The reduction will apply to all tickets issued from next month, with the 40% cut applicable to all Lufthansa, SWISS International Air Lines, and Austrian Airlines tickets sold in Australia.

The commission structure and applicability remains the same, with all three airlines paying up-front BSP on published market fares, and YQ/YR surcharges for all bookings for travel from Australia to Europe, the Middle East, and Africa.

There is no change to all other fare types, with 0% applying to mileage, Star Alliance RTW, and Europa Airpass fares, as well as intra-Europe published fares on all three airlines.

Combinations between commissionable and non-commissionable fares on the same ticket will default to 0% commission on the whole ticket, Lufthansa Group confirmed.

The reduction comes after Finnair earlier this month decreased remuneration for Australian agents at a similar rate, from 5% to 3%.

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