Southwest Airlines announced today it will discontinue its signature free checked bag policy on May 28, 2025, ending a 54-year tradition that distinguished the carrier from competitors and helped build its reputation for customer-friendly pricing.
Policy Details create a tiered system:
- Rapid Rewards A-List Preferred Members and Business Select passengers retain two free checked bags
- A-List Members receive one free checked bag
- Rapid Rewards Credit Cardmembers will receive credits for checked bags
- All other passengers will pay fees, with rates yet to be announced
“This change allows us 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,” said Southwest Airlines CEO Bob Jordan in the announcement.
Broader Transformation extends beyond baggage. Southwest will also abandon its open seating policy later in 2025, implementing assigned seating after research showed 80% of current customers and 86% of potential customers prefer this approach.
New Fare Structure introduces a “Basic” category for budget-conscious travelers, creating more differentiated options across the airline’s pricing tiers.
This strategic pivot represents the most significant change to Southwest’s business model in decades, aligning the carrier more closely with industry standards while potentially risking the loyalty of customers who chose Southwest specifically for its inclusive pricing approach.
