March 12, 2025, 02:00 AM PDT – Southwest Airlines is ditching its beloved Southwest bags fly free promise, introducing Southwest Airlines checked baggage fees for most passengers starting May 28, 2025. The move ends a 54-year tradition of free Southwest checked bags, aligning the carrier with competitors and sparking debate over its impact on loyal flyers and Southwest stock.
Per CNN, Southwest baggage fees will hit the first and second checked bags unless you’re an A-List Preferred member or Business Select traveler, who keep two free bags. A-List members and Southwest credit card holders get one free Southwest checked bag, but others face new costs—details TBD. CEO Bob Jordan framed the Southwest baggage policy shift as essential for profitability, targeting $1.7 billion in 2026 earnings, per Reuters. This follows Elliott Investment Management’s push for change after a $1.9 billion stake, as reported by Business Insider.
Southwest’s Southwest free bags policy once drove customer choice, with Jordan noting it as a top draw after fares and schedules. Yet, the airline’s two-to-three times higher bag volume slowed operations, a cost now flipped into revenue via Southwest charge for bags, per NPR. The Southwest changes don’t stop there: a basic economy fare launches May 28, and Rapid Rewards points face dynamic pricing, adjusting rewards for demand.
Analysts like Henry Harteveldt, cited by CBS News, fear Southwest ending free bags could tank its brand loyalty, a sentiment competitors like Delta are banking on. United’s CEO Scott Kirby called it “the slaying of a sacred cow,” hinting at profit gains but customer loss. Meanwhile, LUV stock jumped 9% Tuesday, reflecting investor optimism.
Does this spell the end for Southwest baggage as a perk? The airline insists its “DNA” is service, not free bags, per Jordan. Yet, as Southwest news spreads, the jury’s out on whether flyers will embrace or abandon this new Southwest.
