Holiday meltdown cost Southwest Airlines $140 million in fines
The US Department of Transportation (DOT) has penalized Southwest Airlines a record $140 million (£110 million) for its operational collapse in 2022.
The fine is about thirty times greater than any other fine the US has ever imposed on an airline.
During a busy week of holiday travel last winter, Southwest cancelled almost 16,900 flights, leaving millions of people stranded.
The fine, according to US officials, «sets a new precedent and sends a clear message».
Pete Buttigieg, the transportation secretary, stated in a statement on Monday that «we will use the full extent of our authority to hold airlines accountable if they fail their passengers.»
$35 million of the punishment will be given to the government, with the remaining portion going toward paying Southwest travelers who were impacted by the airline’s cancellations or delays in the future.
Southwest expressed its satisfaction at reaching this deal with US regulators in a news statement on Monday.
The business went on to say that it has improved its customer service by making adjustments after learning from the travel disaster of the previous year.
The airline has already been ordered to pay passengers affected by the widespread cancellations of last year over $600 million in refunds and reimbursements, on top of the $140 million fine.