Tourism Industry: Legal and Ethical Considerations Report

This report comprehensively examines the intersection of legislation and ethics within the global travel and tourism industry, emphasizing the importance of legal compliance and ethical conduct. It explores various legal frameworks, including those related to consumer protection, health and safety, and transportation, using examples from the UK, Portugal, and the Caribbean. The report delves into specific laws such as the Health and Safety at Work Act 1974, carriage acts, and equality regulations, highlighting their significance in ensuring fair practices and safeguarding consumer rights. It also discusses the roles of regulatory bodies like ABTA, IATA, and the CAA. The report analyzes case studies, such as scenarios involving booking issues and substandard accommodations, to illustrate the practical application of these laws and the consequences of non-compliance. Furthermore, it addresses the challenges of implementing these regulations, including the costs of compliance and potential impacts on businesses, while also emphasizing the need for equal treatment and non-discrimination in the tourism sector. This report provides a detailed overview of the legal and ethical considerations in the tourism industry and is available on Desklib for students.

LEGISLATION AND
ETHICS

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 ...............................................................................................................................................1
1.2 ...............................................................................................................................................2
TASK 2............................................................................................................................................4
2.1................................................................................................................................................4
2.2................................................................................................................................................5
TASK 3............................................................................................................................................6
3.1................................................................................................................................................6
3.2................................................................................................................................................8
TASK 4............................................................................................................................................9
4.1................................................................................................................................................9
4.2..............................................................................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Travel and tourism is one of the most popular industries at global level which creates
maximum revenues and also employment opportunities. This creates a special importance of
tourism industry in world market. The whole governance of this sector is guided by some laws
and acts which are necessary to comply with. These laws act as guidelines for entire industry so
that no unfair practice can be exercised. Government has enacted laws for various areas that
define rules for all divisions that cover cited industry. For instance, health and safety,
transportation laws and other kinds of ethical considerations which help in maintaining basic
morals of tourism sector (Aksoy, 2010). So, it is necessary for all business firms to follow every
such governing laws so that customers can be provided quality services and no barriers can
hamper progress of travel and tourism body. Apart from this, laws also give protection to
consumers so that no party can be victimized on the basis of unfair practices of travel and
tourism. In present report, varied areas of travel and tourism industry has been focussed in which
importance of all mentioned laws will be discussed. Moreover, the moral and ethical practices
that should be complied by industries are also given a due consideration in entire report which is
based on different scenario of Portugal and Caribbean tourism (Banerjee, 2012).
TASK 1
1.1
The industry of travel and tourism sector is administered by the government so that
various rights of consumer can be preserved against unfair means of practices. All companies
and business organisation indulged in this industry are responsible to give fair and satisfying
services to customers. There is an association of travel and tourism industry in Britain that is
ABTA which takes care of all issues and problems related to tourism. This includes bookings,
insurance and similar kind of processes so that customers do not face any issuers related to their
travels. Some other bodies that govern processes elated to tourism sector are (IATA)
International Air Transport Association, Civil Aviation Authority (CAA), Solicitors Regulation
authorities (SRA) and so on (Cuevas, 2011). Besides this, each firm is have responsibility of
giving high quality services to customers as per their needs. Every customer pays a large amount
for leisure activities, so organisations should ensure that they can provide services in full value of
their money. Health and safety at work act, 1974 was enacted by law to support all bodies that
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work for development of this sector. This gives protection to employees and employers of legal
bodies that are involved with them in development works so that they can be safeguarded from
any hazard at workplace.
Carriage by air and transport act 1979, is an act that gives protection to travellers during
their travel through air or road (Dwyer and Forsyth, 2011). In this condition, the aircraft carrier
or driver as the case may be, is responsible for any damage, injury or death that is caused to their
customer because of their carelessness. As mentioned in given scenario, Betty and Steve were
given a promise to be picked up from airport for hotel. This promise was not kept and they had to
travel from a local taxi which was not in good condition. All these losses caused to couple should
be borne by promising company. In first case as well, the customers have given a promise of
picking up facility right from the airport. So it is now responsibility of tour operating agency to
comply with all stated facilities. This legal framework gives protection to customers from such
practice (Ferrell and Fraedrich, 2014). Besides this, many other regulations have been imposed
by government of UK acts as a shield for customers to protect them against any unfair trade
practice. Further, European laws have given various facilities to travellers came for leisure or
business activities by designing a framework that allows to do outright purchases. They are also
allowed to bring their goods in country while travelling duty free. They are given the facility of
common currency within eurozone countries as well. Tourists have a facility of toll free number
112 in emergency cases across the European union. Moreover there is a court as well that all
civil and criminal cases are heard (Trevena Irwig and Barratt, 2010). The court gives assistance
to general public who have suffered due to any unethical activity of travel and tourism industry.
Furthermore, British travel agent use to cater needs of tourism industry by supplying products
that are required to satisfy needs of customers. All above stated practices and laws make a
complete framework that indulges in preserving of travel and tourism sector from any unethical
and immoral practice.
1.2
Government of UK has launched various laws and acts indifferent areas of sea, road and
water transport for passengers. The legal framework in these areas have been enacted with the
sole purpose of giving right to customers for using their power in case of unethical practice
exerted by travel and tourism operating bodies (Joseph and Jacob, 2015). The explanation of
these legal constitutions are highlighted in below mentioned points:
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 Surface law: The surface law of UK is governed by International carriage of passenger by
road act, 1979. This law includes protection against various kinds of damages and losses
of passengers in terms of physical or mental disorderliness. Along with this, loss of any
belongings of customers is also covered under carriage by railway act, 1972. These acts
and laws also give assistance to individuals who are disabled. Apart from this, it also
assists to passengers who claim for their any kind of carriage. The best part of this service
is the service provided by this body is free of cost (George, 2015).
 Sea law: the governing body of UK that is The Athens convention, 1974 use to give their
decisions in case of any loss or damage caused to customers during travel by ship.
Besides this, another governing body of UK is International Maritime organisation which
use to safeguard the security of shipping. SOLAS is a governing body that is entrusted
with giving training to crew members from fire, and regulate other measures as well that
provides safety equipments to passengers while having ride through sea. The law related
to these field also made it obligatory for all companies to give insurance to passengers
who are travelling through ships for that relative time of travel (Hedayat,
Shooshtarizadeh and Raza, 2013). In present scenario, Betty and Steve have right to
claim under sea law as they have suffered loss due to negligence of transport authority. Air law: The air laws are governed under different acts in which one of the act is
administered under provisions of air and road act 1979. This law keeps track of air traffic
and give guidelines to its engineers as well. Another law of UK government lays down
policies and rules regarding documentation of carriage. It gives right to passengers for
claim in case of any serious injury or death.
 Denied boarding regulation: This law provides compensation to passengers in case the
flight is cancelled (Cohen, 2010). The compensation is given along with meals and phone
calls. But this reimbursement is given on condition that flight either belongs to EU or it
should be departed from EU states. In this way, this regulation helps in maintaining
standard functions under the law along with giving protection against any inconvenience
caused to passengers.
Some common laws have also been enacted like railway carriage act,1993, carrier by Air
act and so on. All these laws along with above mentioned acts, have common objective of
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maintaining some standard rules that can help passengers from any unwanted events that occur
during travelling.
TASK 2
2.1
The health and safety at workplace is the major concern for UK government according to
which, various acts have been imposed (Crane and Matten, 2010). These laws lay emphasis on
heath and safety regulations to ensure the clean environment. The employer and employee both
are responsible to maintain healthy and safe environment at workplace. Employers are expected
to provide all necessary conditions so that workplace surrounding can remain free from any
hazardous conditions. In context of travel and tourism sector, UK government tries to maintain
all necessary conditions at workplace and supplying healthy and safe accommodation to tourists.
In this condition, Health and safety regulation act, 1974 lays down some compulsory
laws that direct the employers to fulfil their duties as per the act. Apart from this, the act can also
conduct research and surveys if required to see the real situation as per law (McGuinness and
McHale, 2014). In case of Betty and Steve, according to a the promise made by resort, they were
supposed to be given accommodation with sea view and a high quality food as well. But both of
these conditions were not fulfilled and they were allotted a room with poor facilities. This
compelled them to check out from hotel and they had to move in some other hotel for
accommodation. This poor service given by resort of Caribbean makes them defaulter under
principle of promissory estoppal. Some other relevant acts in given scenario are:
 Occupier liability act, 1984: As per this law, in case of any type of harm or discomfort
caused to customer, the whole liability will be on occupier of the premises where the
misconduct was done (Peterson and Ferrell, 2011). In above cited instance, the manager
and owner of resort will be liable for all poor services delivered to Betty and Steve.
 Health and safety at workplace act, 1974: According to laws constructed by
government, it is necessary to comply with all minimum required conditions necessary to
maintain safety at workplace. Travel and tourism sector is also bound under this act
according to which, it is necessary for organisations to maintain a hygienic environment
free from risks. Apart from this, they are also expected to give quality services with clean
accommodation. In given case, resort was expected to deliver quality food and
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accommodation services as mentioned in brochure (Shaw, 2014). But company did not
comply with given conditions. For instance any carelessness at workplace may result in
fire accidents or some other issues. Hence, it is necessary to give fire safety training as
well to the employees.
 Unfair contract terms, 1977: This act provides a safeguard to customers so that no
exploitation can be done on the basis of unfair contractual terms. This act makes the
liability of business concerns limited as it it was laid on exclusion clause basis. As a
result, organisations indulged in travel and tourism sector are restricted to take liability in
some of the subject matters. While they are made responsible to comply with all rules and
commitments made by them in advance (Stone, 2011).
All above mentioned laws are enacted so that all travel and tourism related industries may
maintain the standard procedures and processes that can give quality services along proper
conduct of laws as well. But various negative factors are also there in such acts. These
regulations are not easy to implement in travel and tourism industry. Companies may have to
take assistance of an expert who can give professional advices in such cases. For giving training
with regard to such compliance of acts, it can prove to be very costly for industries. Sometimes
due to carelessness of customers, firms may have to bear heavy losses which may result in
damages to goodwill of company (Steinbrook, 2010).
2.2
The term equality states that every individual is equal in eyes of law and should not be
discriminated on the basis of caste, race, ethnicity, backgrounds, culture and so on. So, in context
of travel and tourism sector, industries are expected to give equal treatment to all employees and
all customers as well. UK Government has made laws under equal opportunities act, 2010 where
it gives protection to individuals to sue any party that has involved in discrimination act. By
constructing this law, government was aiming to eliminate all types of discrimination acts in
terms of caste and creed, disability, race and so on. The act has provided laws on individual
terms which administer the case according to nature of favouritism done (Taylor, 2015). This act
bounds the whole country so that the right can be given to entire nation's people. This equality is
necessary to comply with at workplace as well so that no discrimination is practices on terms of
gender or disability basis. Some of the constituted laws under the concept of equality is
explained below:
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 Sex discrimination act, 1975: This act provides safety to citizens so that no
discrimination can be made on the basis of gender or any other way with employees. The
compliance of this act is necessary to be fulfilled in condition of hiring employees and
giving wages as well (Aksoy, 2010). Further, no tourist should be faced with condition of
favouritism on the grounds of gender. In nutshell, all people are equal either it is male or
female at workplace. Additionally, tourists are also equal who have come for the purpose
of tourism. Race discrimination act, 1976: This act states the clear vision with fair and equal
treatment with all citizens regardless of cast, colour, race, and ethnicity basis. All
employees should be given equal treatment and opportunity while recruiting. No
discrimination should be exercised on the basis of his/her cultural background, caste and
race basis. Likewise any tourist or guest should be treated equally with all facilities and
services that are being given to other guests (Cuevas, 2011).
 Disability Discrimination act, 2005: The said act was made with the aim of providing
equal opportunities to both capable and disable persons in case of employment and other
areas. Some organisation use to do favouritism on the basis of disability and do not hire
persons who are handicapped in any way. This practices is restricted under this law and
favours to give equal weight age to such persons as well. Moreover, government has also
provided that any travel and tourism operating agency will not conduct improper act on
the basis of disability of person and will deliver similar services that are being given to
other capable persons (Ferrell and Fraedrich, 2014).
Besides all aforesaid laws made for providing equal opportunities, many other laws have
been enacted that provide protection at workplace to all employees. Further, in tourism industry,
employees have right to take wages timely and work according to minimum hours as per stated
by law.
TASK 3
3.1
The law of contract is made with an aim to maintain clear relations between contracting
parties. To make a contract valid, it is necessary to have all essential elements of contract that is
valid offer and acceptance, consideration, capacity to contract and intention to make contract. In
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context of travel and tourism sector, different parties enter into contracts which are made with
various intentions and purposes (Joseph and Jacob, 2015). For instance it may be related with
goods and services, or with commitment to provide any service related to carriage and
accommodation. In all cases, it is crucial to abide by the points mentioned in contract and
provide all services that can give satisfaction to customers. It should be kept in consideration that
services provided must meet the quality and quantity as promised by the supplier.
In travel and tourism sector it is important for supplier that they maintain the standard
and quality in their services which cannot damage to the life of customers. These laws and
contracts are applied in all sectors of travel and tourism where different tour operators use to
offer holiday packages and other kind of premium and discount schemes (Hedayat,
Shooshtarizadeh and Raza, 2013). As mentioned in first scenario, Mr. and Mrs. Jones planned
their holiday after referring the brochure by which they came across with a tour operating
website and selected Portugal for their tour purpose. This brochure also mentioned facilities that
entire flight and accommodation charges at £1200 along with the arrangement of picking up
facility from airport till hotel. This website makes a commitment by tour operator for giving all
mentioned facility. So now, it is duty of that company to provide whole service at mentioned rate
with maintained quality. Moreover, to make arrangement of pick up facility after assuring that
carriage reaches at time and have all facilities as well (Crane and Matten, 2010).
In second scenario as well, Betty and Steve booked a resort at Caribbean which promised
to have accommodation with sea view from room and mentioned resort will provide A la carte
meal every night. The commitment of picking up facility was also given by resort. But whole
scene was not as per mentioned or committed promise. Carriage did not reach and thus both had
to hire a local taxi which was not in good condition. Hotel room was not having any sea view as
well and the meal was not as mentioned by resort. This made them to go at some other place and
therefore they took another room in other hotel which was expensive but with satisfying services
(Peterson and Ferrell, 2011). In such case, both can suer the resort on terms of violation of
contract. They can also claim for all damages and losses they had to bear due to poor services.
In both scenario it is evident that both tour operating agency and resort were expected to
fulfil their commitment as the given advertisement originates a contractual relationship between
customer and business organisations. So, in this regard they were abided by law to provide all
services on fair basis. In later case, company is defaulter on the basis of their negligent acts and
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makes them liable to compensate on terms of doctrine of vicarious liability to the claiming party
(Stone, 2011). On other hand in former scenario, there is a relationship is established between
both parties as principle and agent. So, it is the duty of agent to fulfil all promises and cater with
quality services to guests.
3.2
Consumer protection is a vital part of any service industry where customers are
considered to be the focal point. This makes it necessary to base all services on customer's
satisfaction to maximum level. Travel and tourism is a service industry in which contracts are
made without giving any legal presence so terms of contract have a vital role in such contracts.
Many industries that are indulged in travel and tourism industry use to make their advertisement
and contracts that are generally exaggerated (Taylor, 2015). So, it misleads customers and as
they are not familiar with the laws of foreign country, several times they get cheated. So, these
industries remain safe as no action is taken against them by any of customer due to ignorance of
laws and acts made by government to protect tourists. Moreover, many travel and tour operating
agencies use to take signature of customers on their forms. These form mention a condition
where they ask travellers to leave the services if they are not satisfied with it. All these
conditions demand a requirement to make some strict and legal provisions that can protect rights
of consumers in more defined and satisfactory way (Banerjee, 2012). Some strict measures
should be taken by government so that customers may not remain at any compromising
situations. In case of Betty and Steve, resort was completely at position where rules and laws
were violated.
The government of UK has made an act which is consumer protection act, 1987. This act
provide enough rights to customers so that no agency can practice unfair means with travellers.
This makes clear that, any terms and promises made in contract make agencies liable to provide
said services to consumers. In case of Mr. and Mrs. Jones, the summer holiday package is liable
to give all services at mentioned rate (Dwyer and Forsyth, 2011). Likewise, in Betty and Jones
case, resort was liable for many duties as they committed on their website. So it gives right to
Betty and Jones under consumer protection act and they have right to claim compensation
against company.
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TASK 4
4.1
Slum tourism is regarded as the type of tourism which takes into consideration visiting
impoverished sites. Main focus is on slum areas of London and in the present era it has become
prominent in many places such as Africa, India etc. This concept is regarded to be different
where wealthy tourists are paying money to look at poor people and such type of tourism is not
regarded to be ethical (Trevena, Irwig and Barratt, 2010). At present slum tours are generally
sold as an alternative to the traditional one and are considered as one of the most effective way of
experiencing country such as understanding about the real people along with the local culture. As
per the record it has been identified that 40,000 tourists visit favelas in Rio de Janerioa every
year and around 300,000 visit the township in Cape Town. Slums are basically group of people
that lives in urban areas and lacks durable housing, sufficient living space etc.
The main ethical dilemma faced by the Slum tourism is that it is regarded as kind of exploitation
of poor people where the main challenges being faced by them on daily basis are not highlighted
(TUI Group launches five year sustainability plan, 2015). Further, their rights are not protected
and due to this reason they are not able to live normal life. This type of tourism is only major
supporting in generating revenue but overall development of slum areas have not taken place. All
these are the major dilemma as the person living in slum areas does not prefer that people from
other areas may visit their places and this has become one of the major concern. Further, it is
well known fact that individuals in slum areas are not able to live normal life and due to this
reason such type of areas are not required to be promoted. Moreover, with the motive to deal
with such type of ethical dilemma some suggestions are being present where in slum areas
delivering information regarding benefit of slum area is necessarily required (Peterson and
Ferrell, 2011).
It is the moral responsibility of tourism authorities to indulge into practices of sharing knowledge
to the slum people so that they can also support in sharing concept of slum tourism. Apart from
this, some alternative ways have to be identified through which culture, religion and self respect
of people may not be influenced due to promotion of slum tourism. So, these are some of the
ways to deal with the ethical issues faced by slum tourism. Concept of tourism can provide
benefit from economic point of view where foreign residents along with people from other areas
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