Southwest Airlines check-in area with bustling passengers and luggage.
Southwest Airlines has announced that starting May 28, 2025, it will begin charging for checked bags, a significant change to its long-standing policy of offering free checked bags. This decision comes as the airline navigates financial challenges, including layoffs and a decrease in stock prices. While many passengers may be affected, loyalty program members and certain fare classes will still benefit from free checked baggage. Additionally, Southwest is expanding its route offerings to enhance travel options for customers.
The sunny skies over Central Florida are about to see a significant change as Southwest Airlines recently announced that it will start charging for checked bags effective for all flights booked on or after May 28, 2025. This marks a notable shift in policy for an airline that has long championed its free checked bag perk, one of the major selling points that lured in countless customers.
The move comes as part of Southwest’s response to a series of financial struggles including major layoffs and a sharp drop in stock price—reportedly losing half its value in recent years. CEO Bob Jordan has framed the change as a “tremendous opportunity,” a sentiment that has been met with skepticism given how such cutbacks can impact an airline’s long-term reputation and reliability.
For travelers in Central Florida, Southwest Airlines is an essential player in the local aviation scene, transporting one out of every five passengers at Orlando International Airport (MCO). Just last December, they carried over 1 million passengers at MCO, significantly outpacing Delta Airlines, which brought in 677,000 passengers during the same month. Clearly, Southwest has been a favored choice for many travelers heading to and from the area.
Despite facing challenges, Southwest has been turning things around regarding its on-time performance. Their reliability, which took a hit during the infamous 2022 Christmas operational meltdown, has improved in 2024, earning them the top spot for on-time arrivals last month. This recovery is essential for regaining customer trust amidst ongoing discussions about their reliability.
Under this new baggage policy, not all passengers will be feeling the pinch. Customers within higher loyalty tiers, those holding Southwest credit cards, or travelers who purchase business-class fares will still enjoy the benefit of free checked bags. It’s worth noting that Southwest has been a go-to option for budget-conscious travelers, so this change might be a bittersweet pill for many.
Following the announcement of this new baggage policy, there was a notable surge in Southwest’s stock price, which rose by 8% on the news. This reaction from investors suggests optimism regarding the airline’s future and its efforts to adapt amid growing market challenges.
More route expansions are slated for February 6, 2025, covering travel through November 1, 2025. These adjustments cater to both growing demand and increased market competition, showcasing Southwest’s commitment to staying relevant. Additionally, the airline is planning to introduce assigned seating and revised seating options by the end of 2025, adding to the evolving travel experience.
As Southwest historically relies on Boeing 737 aircraft, the need for aircraft replacements is on the horizon as their fleet ages. This aspect of the airline’s future presents exciting possibilities for both the company and travelers alike.
In summary, while the end of the free checked bag policy feels like a blow to friendly fare options, it also opens the door for potential growth and improvements in service as Southwest Airlines navigates through these changing skies.
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