Pristine Floyde searches for a buddy’s suitcase in a baggage holding space for Southwest Airways at Denver Worldwide Airport in December 2022.
Michael Ciaglo/Getty Pictures
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Michael Ciaglo/Getty Pictures
Pristine Floyde searches for a buddy’s suitcase in a baggage holding space for Southwest Airways at Denver Worldwide Airport in December 2022.
Michael Ciaglo/Getty Pictures
WASHINGTON — Southwest Airways is nonetheless paying for its meltdown throughout the 2022 holidays that stranded hundreds of thousands of vacationers — and the tab is rising.
The U.S. Transportation Division has ordered Southwest to pay a $140 million civil penalty, a part of a broader consent order after the airline’s operational failures a yr in the past.
That penalty is by far the most important the DOT has ever levied for shopper safety violations, in keeping with a press release from the division.
A digital show exhibits cancelled flights within the Southwest Airways baggage space at Los Angeles Worldwide Airport in December 2022.
Robyn Beck/AFP by way of Getty Pictures
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Robyn Beck/AFP by way of Getty Pictures
A digital show exhibits cancelled flights within the Southwest Airways baggage space at Los Angeles Worldwide Airport in December 2022.
Robyn Beck/AFP by way of Getty Pictures
”At present’s motion units a brand new precedent and sends a transparent message: if airways fail their passengers, we’ll use the complete extent of our authority to carry them accountable,” Transportation Secretary Pete Buttigieg stated in a press release asserting Monday’s order.
A serious winter storm final December induced journey disruptions throughout the nation as airways canceled 1000’s of flights. However whereas different airways recovered comparatively rapidly, Southwest fell aside. The airline in the end canceled 16,900 flights, stranding greater than 2 million passengers.
Because the disruption, Southwest says it has taken steps to enhance its operational resiliency and buyer care.
”We’ve spent the previous yr acutely centered on efforts to boost the Buyer Expertise with important investments and initiatives that speed up operational resiliency,” stated Bob Jordan, Southwest Airways President & CEO in a press release. ”Our dedication to Clients has been central to our success throughout our 52-year historical past and has helped us turn into one of many world’s most admired and trusted airways.”
Beneath the settlement, Dallas-based Southwest is required to ascertain a $90 million compensation system for future passengers affected by important delays and cancellations, which counts as a part of the $140 million penalty.
The airline has already paid out greater than $600 million in refunds and reimbursements to vacationers who confronted disruptions. In whole, the airline pays out over $750 million for the vacation meltdown, DOT stated.
”Caring for passengers isn’t just the suitable factor to do — it is required, and this penalty ought to put all airways on discover to take each step doable to make sure that a meltdown like this by no means occurs once more,” Buttigieg stated.