The group says it has processed 94% of cash refunds to package holiday customers travelling up until 31 May, and has paid out £22 million.
Some 300 people, up from just 15 before the crisis, are working on the company’s refund backlog after Southall’s "early decision" to commit to abiding by the 14-day refund rule under the Package Travel Regulations (PTRs).
Southall has also pledged to refund all package holiday customers, who were due to travel up to 30 June, by 15 June.
“These are unprecedented times and, as such, we have had to adapt our business and make significant changes in order to satisfy customer demand, and continue to deliver a quality service," said chief commercial officer Jaymin Borkhatria.
“We have already processed £22 million in refunds and in order to ensure our customers are able to reach us in a timely fashion, and to give us the ability to offer swift customer service, we have significantly increased our call centre capacity. This has seen our average call waiting time decrease to just two minutes.
“As a successful, privately-owned UK travel business, which has been operating for more than 35 years, we are in an enviable position where we have a strong business model with significant cash reserves, giving us the ability to adapt quickly and effectively.
“We are meeting all of our legal requirements and in many cases, going above and beyond, such as our early decision to abide by the Package Travel Regulations and provide full refunds on package holidays,"
Agents ’at the mercy of airlines’
Working with almost 300 airlines, many of which – Southall said – were "constantly changing" their refund policies, the group is processing flight-only refunds as soon as it receives the cash from airlines.
"However, a large number of airlines have disabled travel agent access to the standard refund system, a system which is fast, effective and ensures a prompter response to the customer," Southall revealed.
"In its place, these airlines have imposed a manual process, which means agents must complete an application form for each and every passenger on the booking, which is both time consuming and labour-intensive.
"The group continues in its discussions with the airlines, asking for greater speed in order to refund customers. However, at the moment, it is at the mercy of the airline’s slow and inefficient refund process."
Southall has also pushed back balance dates from a month to 10 days before departure. Until then, clients who choose to cancel will not be charged a cancellation fee.
