Southwest is ending its long-standing tradition of offering two free checked bags to all passengers. The move is the airline’s latest departure from its nearly 60-year roots.
In a Tuesday news release, the Dallas-based carrier said only some passengers will now be offered free checked bags. Southwest will offer two free checked bags to top-tier Rapid Rewards A-List Preferred members and passengers traveling on Business Select fares.
A-List Members and other certain passengers will be offered one free checked bag. In addition, the airline says it will credit one checked bag for Rapid Rewards Credit Card members.
These changes will take effect on flights booked on or after May 28. During its Investor Day event last year, Southwest leadership stated that 97% of passengers knew about the two free checked bags policy.
All of this comes as activist investor Elliott Investment Management continues to take hold of the company. In February, Southwest announced its first-ever mass layoff, eliminating 1,750 corporate jobs.
The airline’s unit revenue is expected to be down this quarter, citing “higher-than-expected completion factor, less government travel, and a greater impact from the California wildfires than originally estimated. The remainder of the decrease is primarily attributable to softness in bookings and demand trends as the macro environment has weakened.”