U.S. Department of Transportation Waives $11 Million Fine for Southwest Airlines After Operational Improvements
The U.S. Department of Transportation (DOT) has decided to waive the final $11 million payment of Southwest Airlines' $140 million penalty related to the December 2022 holiday travel crisis. This decision was made in recognition of Southwest's significant operational improvements and investments in network operations. The airline had already paid $24 million of the $35 million owed to the U.S. Treasury, with the final payment originally due on January 31, 2026. The penalty was initially imposed due to Southwest's operational collapse during a winter storm, which led to the cancellation of 17,000 flights and stranded over 2 million travelers. The DOT's decision reflects the airline's efforts to modernize its operations and improve on-time performance.