- 13 Mar, 2025
Southwest Airlines Baggage Fees for Checked Luggage in 2025
Southwest Airlines is ending one of its most discerning perks: "Free checked baggage." The announcement of a change in Southwest baggage fees occurred within a few months of revoking the open seat policy. Bob Jordan, Southwest's CEO, said in a press release, "We have tremendous opportunity to meet current and future customer needs, attract new customer segments we don't compete for today, and return to the levels of profitability that both we and our shareholders expect."
As per Southwest's announcement on Tuesday, the airline will begin charging for the first and second checked bags beginning on May 28. According to the new Southwest baggage policy, the airline will continue to offer two free checked bags to loyal customers with the highest status, A-List Preferred, and passengers who purchase the most premium fare. However, members with lower loyalty status, A-List, will get one free checked bag. It will also credit one checked bag for passengers who hold its co-branded credit card.
So, all in all, members of its A-List loyalty program, holders of its branded credit card, and those traveling on a business fare will be exempt from the baggage fees. However, customers who do not qualify for its free Southwest checked baggage will be charged for their first and second checked bags.
Southwest Airlines' baggage fee changes are an extremely monumental modification because it has always offered free checked bags since its commencement about 60 years ago. They kept the policy intact even when its competitors started, added, or increased the baggage fees. Its "bags fly free" policy has been an outlier in the airline industry and a pivotal component of its advertising.
Delta Air Lines President Glen Hauenstein said on Tuesday some of Southwest's customers are now up for grabs. Some analysts also expressed concerns about the new Southwest Airlines Baggage guidelines' negative influence on the airline's brand. Savanthi Syth, an analyst at Raymond James, said, "We were not supporters of bag fees."
Southwest Airlines is the only primary U.S. carrier that allows customers to check two bags for free, differentiating it from its rivals and competing airlines. Jordan informed of no plans to start charging for the first two bags being checked to investors on the analyst call last year. He said the no fees for the first two bags are "a big part of what attracts people to Southwest." He stated, "After fare and schedule, bags fly free is cited as the number one issue in terms of why customers choose Southwest. So, it's not something under consideration right now."
At the investor conference on Tuesday, Bob Jordan said, "All of these initiatives are new to Southwest, but they are not new to the industry." Furthermore, he stated that the changes "are exactly what our employees want us to do." Southwest Airlines has yet to reveal how much the checked bags will cost. According to the Department of Transportation statistics, the airline managed to collect $73 million in baggage fees in 2023 and $62 million in the initial few months of 2024 without charging for the first two checked bags.
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