In a stunning about-face that marks the end of an era, Southwest Airlines has announced that its passengers would need to pay for checked bags, a radical shift from its legendary “Bags Fly Free” policy. This change, set to take place in mid-2025, has been greeted with a mixed reaction from
consumers and industry watchers.
For decades, the budget carrier has stood out in the aggressive airline industry by allowing
customers to check two bags at no cost. This perk has been a hallmark of the airline’s
affable customer image, attracting budget-conscious travelers and families. But rising operating
costs and pressure to generate revenue have led the airline to reconsider.
Rapid Rewards A-List Preferred Members and Business Select fare passengers will continue to receive two free checked bags, while A-List Members will get one free checked bag. Rapid Rewards Credit Cardmembers will get credit for one checked bag, whereas those not qualifying for these options will pay for their first and second checked bags.
Mixed Reactions from Passengers
Southwest’s recent move has disappointed many of its long-time customers. “I flew with Southwest because of the free bags – it really saved me a lot of money, especially when traveling with my
kids,” said Sarah Thompson, a Dallas-based frequent flyer. “This feels like a betrayal of what
made them unique.”
However, some travelers understand the necessity of the change. “I get it – everything is getting
more expensive these days,” said Mark Johnson, a business traveler from Chicago. “As long as
the fees are reasonable, I’ll probably still fly with them because of their great customer service.”
According to a Southwest statement, the addition of the new baggage fees will allow the airline
to “respond to evolving industry dynamics and achieve long-term financial health.” The fare
breakdown is not specified but is said to be in line with other major carriers, which have a fee of
between $30 and $40 for the first checked bag.
Industry-Wide Trends
Southwest’s action is symptomatic of broader trends in the airline industry, as airlines
increasingly rely on ancillary charges to generate revenue. Industry experts project that
baggage fees alone generated over $5 billion for U.S. airlines in 2024.
By including these fees, Southwest aims to close the revenue gap with competitors like Delta and American Airlines, which have long enjoyed such fees.
This move is likely to have a significant impact on Southwest’s bottom line. As reported by
Reuters, the carrier anticipates that it will reap an additional $200 million annually in revenues
from checked luggages alone. The decision comes at a time of highest demand for
Southwest, which has been struggling financially in recent years with rising fuel costs and
operational disruptions.
What’s Next for Southwest?
While the baggage fee policy is a big change, Southwest has assured customers that it remains
dedicated to its original principles of low fares and customer service. It will use the new
revenue to make operational efficiency and the passenger experience better, for example,
upgrades to the fleet and in-flight amenities.
Southwest’s action demonstrates the balancing act carriers must perform between keeping
customers loyal and adjusting to economic realities. As the aviation industry continues to evolve,
travelers likely will need to be ready for more changes in how they travel.
For now, passengers booking flights on Southwest beyond mid-2025 must factor in the extra
baggage fees when planning a trip. As much as free-checked bag days are likely gone,
Southwest is counting on its reputation for reliability and customer service to keep travelers
coming through its doors.
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