
Southwest announces when controversial change will hit customers
The budget airline outraged its loyal customers when it announced that it was scrapping its open seating policy last summer.
Its new assigned seats will be available for flights from January 27th next year, the airline announced on Tuesday.
However, these flights and seating preferences can be booked beginning on July 29.
'Assigned seating unlocks new opportunities for our Customers — including the ability to select Extra Legroom seats — and removes the uncertainty of not knowing where they will sit in the cabin,' Southwest executive Tony Roach said of the change.
The airline has not yet revealed how much more each seating tier will cost under the new system.
The policy was introduced the boost the company's bottom line and to meet the rising demand of premium seating.
Other recent changes have included the scrapping of its two free bags policy.
Flyer must now cough up $35 for the first checked bag and $45 for the second.
On Monday the carrier also revealed that it would be overhauling its hated boarding process.
The new system will ferry passengers on to the plane in accordance with their seat location.
Priority will be given to those who have purchased more expensive seats and to members of the airline's loyalty program.
There will also be the option of purchasing a priority boarding add-on for those who wish to jump the queue.
In February the airline announced plans to cut 15 percent of its corporate workforce in a bid to cut costs.
The layoffs - a first in the airline's 53-year history - will slash around about 1,750 jobs.
The airline's cost-cutting spree began last year when activist investors Elliott Investment Management. pressured the board to cut losses and boost profits.
Bob Jordan, CEO of Southwest Airlines, previously announced staff cuts
Unlike its rivals, Southwest had long avoided mass job cuts, even during economic downturns, 9/11, and the pandemic.
But after a hiring spree in recent years, the airline is now under investor pressure to rein in costs.
Rising labor expenses from new union agreements and inflation have squeezed profit margins, despite strong travel demand.
CEO Bob Jordan acknowledged the corporate workforce had grown faster than the rest of the airline and said the decision was made to improve efficiency.
'We must ensure we fund the right work, reduce duplicative efforts, and have a lean organizational structure that drives clarity, pace, and urgency,' Jordan wrote in a message to employees in February.
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