Southwest Airlines breaks with another tradition and checked bags will cost you now

Southwest Airlines will begin charging many passengers for their first checked bag in a departure from the company’s longstanding “bags fly free" policy, the airline announced Tuesday morning.

Southwest, one of four airlines serving Long Island MacArthur Airport, said only passengers at the upper end of its loyalty program as well as holders of its branded credit card would qualify for free bags. The policy will take effect for passengers booking on or after May 28.

Dallas-based Southwest, which offered its first flights in 1971, has long sought to distinguish itself from rivals as a low-cost carrier on customer service. Tuesday’s announcement is the latest change after it announced in September it would end its open boarding system and start assigning seats.

At the time, the company had reiterated its commitment to letting passengers check two bags for free.

Bob Jordan, Southwest’s president and CEO, acknowledged the major change in an email to customers Tuesday morning.

“We recognize these changes may be a disappointment to some, but know we’re committed to building a Southwest that will continue to offer you low fares, convenient flights to destinations you want, and a travel experience that is rewarding,” he said.

The new policies change the airline’s bag fees and rewards system. Rapid Rewards A-List Preferred Members and customers flying on Business Select fares will qualify for two free checked bags.

A-List Members and holders of the Southwest Rapid Rewards credit card will qualify for one free checked bag.

All other customers will pay for checked bags. The airline did not announce a bag fee on Tuesday.

The rate at which passengers earn rewards points will also change, effective May 28. The earning ratio will rise for higher-tier fares and cardholders and fall for lower-tier fares, such as the Wanna Get Away fare. The airline will also introduce a basic fare that will have restrictions on making changes to flights and shorter expiration periods for flight credits.

The new policies offer Southwest opportunities to “attract new customer segments we don’t compete for today and return to the levels of profitability that both we and our shareholders expect,” Jordan said in a company announcement Tuesday.

The company reported $465 million in net income in 2024, which was flat from the previous year. It generated $27.5 billion in revenue last year.

Southwest’s share price rallied in Tuesday morning trading. The stock price rose about 7.1% Tuesday to $30.17 as of 10:40 a.m.

By Jonathan LaMantia

jonathan.lamantia@newsday.com@jonlamantia

Jonathan LaMantia covers residential real estate and other business news on Long Island. He previously covered the business of health care for Crain's New York Business.