The Days of 'Transfarency' Are Over: Southwest to Add Bag Fees, Basic Fares, Dynamic Pricing The Days of 'Transfarency' Are Over: Southwest to Add Bag Fees, Basic Fares, Dynamic Pricing

The Days of 'Transfarency' Are Over: Southwest to Add Bag Fees, Basic Fares, Dynamic Pricing

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Nearly a decade ago, Southwest Airlines poured millions into TV ads, billboards, and social media campaigns promoting its commitment to “Transfarency.” Even if you didn’t live near an airport served by Southwest, you might recall the ads boasting no hidden fees, two free checked bags, and transparent pricing.

But those days are over. The webpage that once championed these values now leads to an “Error 404: Page Not Found” — a near-perfect metaphor for the airline’s now-abandoned values. Checked bag fees, basic economy, and dynamic award pricing are officially on the way.

For Southwest loyalists, this might feel like doomsday. But according to the airline’s press release issued on March 11, 2025, it’s just business as usual. Here’s a breakdown of what’s changing with Southwest.

Southwest to Start Charging for Checked Bags, Add Basic Economy, and Implement Dynamic Pricing

Ever since Southwest Airlines began bending the knee to an activist investor, changes have been coming nonstop at the Dallas-based airline — long known for customer-friendly policies, great service, and, yes, “Transfarency.” These values once set it apart from its competition.

But as of March 11, 2025, it’s hard to argue these values still exist. Over the next few months, Southwest will introduce checked bag fees, restrictive basic economy fares, and dynamic award pricing — all coming on the heels of gutting the Rapid Rewards earning rates on its Wanna Get Away fares.

Southwest Transfarency definition

Checked bag fees

Southwest will officially start charging for checked bags for flights booked starting May 28, 2025. Unless you have a Rapid Rewards credit card or elite status, you'll have to pay to check a bag.

The number of bags you can check for free depends on a couple of factors:

  • A-List Preferred status holders and Business Select customers can check two bags for free.
  • A-List status holders and those with a Southwest credit card can check one bag for free.

But one notable omission from Southwest’s big announcement is just how much those checked bags will actually cost. Again, so much for “Transfarency” — you’ll have to wait and see the damage once these changes roll out.

Basic fares

Continuing the dilution of the Southwest experience, the airline will introduce a new Basic fare starting May 28, 2025. Like other basic economy fares, this ticket will have plenty of restrictions.

Southwest basic fares will be non-refundable (like normal Wanna Get Away fares), and refunds will be issued as travel credits. But unlike Wanna Get Away fares, these travel credits will expire after just six months, six months sooner than those from non-basic fares.

Southwest fare breakdown
Credit: Southwest

Dynamic award pricing

Southwest already uses dynamic award pricing. As fares increase, so do award rates. However, Southwest seems to want to take this policy even further. As the airline put it, “variable redemption rates across higher-demand and lower-demand flights.”

Southwest dedicated just one sentence in its press release to this rather significant change and left plenty of unanswered questions. But for now, there’s no timeline on when it'll roll out or details on how this shift will impact the number of Rapid Rewards points needed to book an award flight.

Overhead view of the Southwest planes.
Credit: David Syphers/Unsplash

Final Thoughts

In September 2024, during its Investor Day, Southwest reiterated its commitment to offering customers two free checked bags. At least then, the airline believed that “any change in the current policy that provides every Customer two free checked bags would drive down demand and far outweigh any revenue gains created by imposing and collecting bag fees.”

Southwest recently even added a Frequently Asked Questions section to its “Customer Enhancements” page with the following:

Is Southwest^® considering changing its Bags fly free^1 policy?
Our Customers love Bags fly free,^1 and we are keeping our industry-leading policy. Every ticket at Southwest comes with two free checked bags.

Screenshot of Southwest Customer Enhancements page about bag fees
Archived screenshot of Southwest's Customer Enhancements page captured by AwardWallet.

Southwest has now scrubbed that section — as well as many other references to free checked bags — from its website.

How the tables have turned.

And while there's plenty more to gripe about — basic economy and changes to award pricing — it's pretty clear that Southwest has given up on what made it unique in the first place. And no, we weren’t kidding when we said Southwest removed the definition of “Transfarency” from its website. Those values no longer apply.

Southwest Transfarency Webpage
Credit: Southwest

If anything, Southwest is quickly becoming more and more like Delta, American, and United. The value proposition of flying Southwest has fundamentally changed — and the lack of transparency and honesty is really just a shot across the bow.

Yes, we’re salty. And yes, we understand that this is a business decision. But nothing about the delivery and implementation of these policies is customer-friendly. And the fact that Southwest is branding these changes as such? It's nothing short of a slap in the face to travelers.

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Comments

  • Jill Schmidt says:

    If I purchase a Want to Get Away flight today (May 23) for a flight a few months from now, and I cancel it after May 28, will my flight credit still be under their “flight credits don’t expire” rule?

    • JT Genter says:

      Unfortunately not. According to Southwest “Flight credits created from reservations booked or changed on or after May 28, 2025 will have a specified expiration date. All travel must be completed by the expiration date.” So, you’d need to cancel by May 27 to get credits that don’t expire.

      • Jill Schmidt says:

        Thank you very much for that quote from Southwest terms.
        In a May 23 article, another travel news site implied that there would not be an expiration date: “If you have to cancel a booking made before May 28, you’ll still be able to claim full fare credit with no expiration date.”

  • Boooooo!!!!

  • JT Genter, I always consider price after seat assignment and extra legroom (flights greater than an hour or so), first class (flights greater than 4 hours), total price, which if low might go for further upgrades, if price too high check award points redemption options, across all the airlines serving the route I am traveling (well Frontier only when they have actually installed FC as an option), and reasonable alternative airports + intermodal options. Will also consider departure and orrival times, nonstop options, connecting flights with 2+ hour connections, what airport connection is in, what amenities the connecting airport has (such as lounges I can access with my credit cards), Is the available upgraded seat a “throne” seat, can I reserve a seat near the back of the plane to effectively get priority boarding over “basic economy” pax, inflight meal options (comes into play more outside USA but sometimes domestic FC options at a “meal time” where meal service becomes a consideration, how likely in my experience the airline is to offer a cheap paid First Class upgrade on the longer flight segment, overall quality of the experience (e.g. I consider any seat on JetBlue to be equivalent to everyone else’s domestic First Class, same for Viva Aerobus vs other Latin American airlines, same for Jet2.com vs other intra-European airlines. Southwest often has departure times or nonstop options that other airlines do not offer on whatever route I might be traveling.

  • If Southwest adds a wider front seat section like Frontier and JetBlue are adding like Spirit’s Big Front Seat, then I my lifelong refusal to fly Southwest due to no assigned seats with extra legroom – will be over. Thank you Elliott.

    • Why fly Southwest instead of American, Delta, United, Alaska, Frontier, Spirit, or JetBlue (on certain routes) then?

  • Are you saying if the flights are booked before May 28th they’ll still carry the free bags or are you saying even if the flight is booked now but travel is post May 28th, you’re still going to pay for bags?

  • And how long do you think the Companion Pass will last? I feel it will be the last nail in the coffin. If so, I have no reason to stick with SWA anymore.

    • The Companion Pass sells cards. Cards is where the loyalty program revenue is now. So, my guess is that it’s safe for now.