US DOT Waives $11M Fine Balance for Southwest Airlines
The US Department of Transportation has waived the remaining USD11 million balance of a USD35 million civil penalty imposed on Southwest Airlines following widespread flight disruptions during the December 2022–January 2023 winter storm. The fine was originally levied over delayed passenger refunds and what the regulator described as inadequate customer service assistance during the operational meltdown.
According to the DOT, the decision to waive the outstanding penalty reflects Southwest’s significant investment in operational improvements. The low-cost carrier has spent USD112.4 million on upgrades aimed at strengthening reliability, including enhancements that have lifted on-time performance and improved its flight completion factor.
“DOT believes that this approach is in the public interest as it incentivises airlines to invest in improving their operations and resiliency, which benefits consumers directly,” the regulator said in a statement.
Southwest has already paid USD24 million of the total fine and was due to settle the final instalment by the end of January 2026. The waiver effectively closes the enforcement action, marking a regulatory endorsement of the airline’s progress in addressing the systemic issues exposed by the 2022–2023 winter disruption.
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Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com