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A Historic Policy Comes to an End

After over five decades of standing firm on its industry-defining "two bags fly free" policy, Southwest Airlines is officially changing course. Starting Wednesday, most passengers will be required to pay for checked baggage—a first in the airline’s 53-year history.

The decision ends a beloved customer perk and aligns Southwest more closely with competitors, who have long monetized baggage fees as a core revenue stream. In fact, U.S. airlines raked in nearly $7.3 billion from baggage fees in 2023 alone, according to the U.S. Department of Transportation.

What’s Changing?

Effective Date:

• The new baggage fee policy applies to all tickets purchased on or after Wednesday.
• Tickets bought prior to that date will still include the legacy two-bag benefit.

Affected Fares:

• Passengers booking Basic, Wanna Get Away Plus, and Anytime fares will now face checked bag charges.
• While Southwest hasn’t released exact fee amounts, other airlines typically charge $35–$40 for the first checked bag on domestic routes.

Who Still Flies With Free Bags?

There are still a few ways to avoid the fee:

• Business Select customers will retain their two free checked bags.
• A-List and A-List Preferred loyalty members can check one or two bags at no extra cost.
• Southwest credit card holders, along with their travel companions on the same booking, will also enjoy one free checked bag.

Why Is This Happening Now?

The policy overhaul comes as activist investor Elliott Investment Management—which acquired a stake in Southwest in 2023—continues to press for profitability improvements. Elliott secured five board seats and has been pushing for changes to Southwest’s long-held customer-first business model, including:

• Paid baggage
• Fare restructuring
• Eliminating open seating

Additional Fare Changes

Southwest is also rolling out its first-ever “Basic” fare class on Wednesday:

• No changes or cancellations allowed
• Boarding last in line
• Fare credits expire in 6 months (vs. 12 for higher fare classes)

In tandem, the airline is phasing out its Wanna Get Away fare, previously its lowest-cost option.

End of Open Seating on the Horizon

In another historic shift, Southwest will begin offering assigned seats for flights booked in 2026.
The airline has long used a free-seating model, where passengers board by check-in order. Assigned seating, now standard across the industry, will enable customers to pay more for extra legroom and premium seat choices.

Preparing for the Carry-On Surge

Southwest anticipates passengers will bring more carry-ons to avoid the new fees. The airline is responding by:

• Installing larger overhead bins on its Boeing fleet
• Equipping staff with mobile bag-tag printers at gates and lobbies to streamline luggage handling

Customer Backlash and Airline Response

Social media backlash has been swift. Even unrelated posts from the airline now draw angry comments lamenting the policy reversal. But Southwest CEO Bob Jordan insists the backlash hasn’t hurt business—yet.

“We have seen no book-down on that day or after that day,” Jordan said in an April 24 interview on CNBC’s Squawk on the Street, referencing the initial March 11 policy announcement.

Final Thoughts

Southwest’s decision to charge for checked bags marks a major departure from its founding philosophy—but it reflects broader financial pressures in a highly competitive and cost-sensitive industry.
Passengers who want to take advantage of the last chance to fly with two free bags must book their tickets before Wednesday.

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