Southwest Airlines is making a significant change that has left many travelers unhappy: the airline will start charging for checked bags. This decision comes after pressure from Elliott Investment Management, which invested in the airline and gained five board seats in 2024.
Starting May 28, passengers who buy tickets—except for those in the highest fare class—will need to pay to check their bags. However, there are some exceptions. Travelers with “A-List Preferred” status will still be able to check two bags for free, while those with “A-List” status will get one free checked bag. Additionally, Southwest credit card holders will also enjoy the benefit of one free checked bag.
This move marks a significant shift for Southwest, which has long promoted its “two bags fly free” policy. The airline’s executives previously insisted that they would not charge for checked bags, believing that this policy helped attract more customers. However, the airline now aims to align its practices with other major carriers, which earned over $5 billion from bag fees last year.
Customers have expressed their disappointment with this change. Many chose Southwest specifically for its free checked baggage, and the new fees have caught them off guard. One passenger shared his thoughts, saying that in today’s economy, free baggage is a valued perk.
During an investor day in September, Southwest projected that charging for checked bags could bring in between $1 billion and $1.5 billion. However, they also acknowledged the potential loss of $1.8 billion in market share. Southwest had previously claimed that their free baggage policy helped them gain more customers than they would lose from bag fees.
This decision reflects a broader trend in the airline industry, where many carriers are looking for new revenue streams amid rising costs. As travelers adapt to this new reality, it remains to be seen how this will impact Southwest’s reputation and customer loyalty.