Southwest Fined Record $140 Million Over 2022 Holiday Meltdown
HuffPost
The fine is 30 times larger than the previous record penalty from the Transportation Department.
The Transportation Department announced Monday that Southwest Airlines has been fined a record $140 million for the meltdown that stranded travelers during the 2022 holiday season.
The agency said the fines stemmed from “numerous violations of consumer protection laws” as Southwest canceled nearly 17,000 flights around Christmas and New Year’s. An estimated 2 million passengers got stuck due to the operational chaos.
The agency said the fine is the biggest on record and 30 times larger than the previous record for a civil penalty. Most of the money would go toward compensating future Southwest passengers inconvenienced by “controllable” cancellations or delays.
The Transportation Department said the fines come on top of the $600 million Southwest already agreed to disburse for refunds and reimbursements for meals, lodging and other transportation. The agency has been auditing Southwest and reviewing consumer complaints as a result of last year’s holiday debacle.
Of the $140 million, $35 million would go directly to the U.S. Treasury in three installments.
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