SouthWest Airlines said on Tuesday that it will start imposing duties on customers to verify bags, and to give up contracts for contracts that executive officials in last fall as a key to distinguishing the budget holder from their competitors.
The southwest, which has built years of advertising campaigns about its policy of allowing travelers to check free of charge, said that people who did not reach either the higher levels of the rapid rewards program, or bought a ticket from the business degree or keep the airline credit card must be paid for the scanned bags.
The airline did not specify the drawing schedule, but it said that the new policy will start with the reservations of May 28.
“We have a tremendous opportunity to meet the current and future customer needs, attract new customer sectors that we do not compete today, and return to profitability levels that we expect each of our shareholders,” Bob Jordan, CEO of Southwist Air Company said in a statement.
Less than a year ago, the Dallas -based airline announced that it has been getting rid of another tradition, which is the open crocodile system that it used for more than 50 years. Southwest expects operating trips with passengers in the designated seats next year.
The southwest recently fought under pressure from active investors to increase profits and revenues. The airline arrived in a truce in October with the Elliott Investment Management Fund to avoid the Battle of an agent, but Elliot won many seats in the southwestern board of directors.
The airline announced last month that it was removing 1750 jobs, or 15 % of the companies’ workforce, in the first workers ’demobilization in the company’s 53 -year -old history.
Jordan said at the time that the cuts in jobs, which were to be often completed by the end of June, are part of a plan to reduce costs and turn the company into “smaller, faster and more flexible organization.”
The southwest share increased by more than 6 % before the market was opened on Tuesday.
Recently, on the day of the southwestern investor in late September, executive officials in the bags of bags described it as the most important advantage in the southwest position regardless of competitors. All other American airlines receive fees for the luggage that have been examined, and Wall Street has long argued that the southwest was leaving the money behind it.
In September, the airline estimated that the bags in the bags would bring about $ 1.5 billion annually, but it cost the airline $ 1.8 billion of missing businesses who chose to avoid southwest due to generous luggage allowance.
South West said on Tuesday that it will continue to provide two free bags that have been examined for rapid bonuses for members and members traveling in business, and a specific free bag for the members of A list A and other chosen clients. Passengers with fast bonus credit cards will get a one -bag scanned.
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