Southwest reveals new cost of checked luggage
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Southwest Airlines will soon be charging travelers $35 for one checked bag and $45 for two, bringing an end to the company's free baggage policy . The move will take effect tomorrow months after the airline confirmed it would end 'bags fly free' policy by charging some customers to help boost earnings. Southwest was the only major US carrier that allowed customers to check in two bags at no cost.
The airline said it will continue to offer two free checked bags to loyal customers with the A-List Preferred status and to passengers that pay the most premium fare. Customers with the lower loyalty status, A-List, will get one free checked bag. The carrier will also credit one checked bag for passengers who hold its co-branded credit card. Southwest withdrew its financial forecast for the year over uncertainties from President Donald Trump's trade war.
Following the price announcement, fliers expressed their fury and annoyance over the changes in a Reddit post created by a former Southwest employee. 'Good bye Southwest. Audios. Hasta la vista. That means good bye,' a flier wrote. 'I'm A-List Preferred and this is sickening to me. 'Plus imagine how many extra carry-on bags are gonna be tried to be taken on the plane now, slowing down boarding considerably,' another person responded.
Members of the airline's 'A-List' and 'A-List Prefered' programs will still be able to enjoy some free bag perks. The airline, which has built a brand offering a no-frills, customer-focused experiences, has also announced other changes. Southwest is launching a basic economy fare to remain competitive with other major airlines.
It's also launching dynamic pricing models for its rewards program, tracking how much money repeat customers spend on tickets instead of miles traveled. 'We have tremendous opportunity to meet current and future customer needs,' Bob Jordan, the brand's CEO, said. 'We will do all this while remaining focused on what's made us strong — our People and the authentic, friendly, and award-winning customer service only they can provide.'
Southwest's announcement comes amid increased pressure from activist investors , particularly Elliott Investment Management who want to push it to cut costs and boost profits. It also laid off 1,750 corporate jobs as part of a restructuring effort. The mass layoff was the first in the company's history. The end of free bags comes after cuts to routes last year — plus the axing of other perks.
In September, Southwest cut almost a third of its flights to and from Atlanta in a blow to the city and staff based there. In September, Southwest also said it is axing its popular open seating policy after half a century. Instead, it will soon charge passengers a fee to pick a seat. The end of the iconic 'bags fly free' perk was first mooted last year, but bosses denied the rumors.
Southwest, which once boasted a record 47 consecutive years of profit prior to the pandemic, is struggling to regain sustained profitability. A report out earlier this year showed how airlines including Delta, United and American pocketed a staggering $33.3 billion from just baggage fees last year - a sharp 15 percent rise from $29 billion in 2022.
This sum is solely made up of fees from larger carry-on bags, standard checked baggage fees, and fines for overweight or extra large checked bags and accounted for 4.1 percent of global airline revenue last year. Meanwhile, in January there was backlash against Southwest for letting able-bodied flyers use wheelchair assistance to board early.
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