The Trump administration has waived an $11m fine imposed on Southwest Airlines as part of a $140m settlement over the carrier's operational meltdown in December 2022, which stranded over 2 million passengers during the busy holiday travel period.
In December 2023, Southwest agreed to pay a $35m cash fine over three years and provide $90m in travel vouchers of $75 or more to passengers delayed at least three hours due to an airline-caused issue or cancellation. The remaining $11m of the fine was due by the end of January.
The US Department of Transportation cited Southwest's decision to invest more than $1bn in its operations since the 2022 meltdown as the reason for waiving the outstanding fine. The airline has focused on improving performance and reliability to prevent a repeat of the crisis.
