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The Street
The Street
Veronika Bondarenko

Southwest finally started doing something passengers will like

When it comes to the biggest airline fiascos of the last few years, the Southwest  (LUV)  2022 holiday meltdown sticks out in many people's memories. 

On the day after Christmas, a combination of bad weather and a breakdown of the airline’s booking system software led to the cancelation of nearly 4,000 or 75% of all of Southwest’s domestic flights. Many travelers found themselves essentially on their own as, stranded in faraway cities and spending hours on hold trying to reach a Southwest representative, they had to find their own accommodation and alternative transportation. 

Related: U.S. government says Southwest Airlines seriously messed up

The U.S. Transportation Secretary Pete Buttigieg eventually stepped in and called such cancelation rates “unacceptable" while the Department of Transportation (DOT) ordered Southwest to pay $140 million over the situation.

This is how you can claim the travel voucher from Southwest

That number includes a $35 million fine to the federal government and $90 million in refunds or travel vouchers to those affected by the delays. The first travelers started to receive compensation earlier this month. 

More on travel:

On April 30, the DoT reminded travelers that Southwest is officially required to start providing compensation for those affected by the 2022 holiday meltdown starting from that date and for any travel disruptions within its control going forward.

Related: Arguing United traveler greeted by FBI, CBP and local police

Transportation Secretary tells travelers 'the Biden-Harris Administration has their back'

To claim the $75 voucher for travel after April, one can enter one's personal information and flight details through an online form created for the purpose within a year of the affected flight. The vouchers are valid for any purchase with Southwest and can also be transferred to another person. In most cases, they are sent to travelers directly as an online code they can enter when purchasing a new flight.

“After the 2022 holiday meltdown, our department held Southwest Airlines accountable—and now the airline is required to compensate passengers for lengthy delays and cancellations that they cause," Buttigieg said in a statement. “We're pleased to bring these benefits to passengers, and further show the flying public that the Biden-Harris Administration has their back.”

New laws pushed forward by the Biden administration earlier this year means that, going forward, airlines are also required to provide travelers with a travel voucher every time a flight is delayed by more than three hours or canceled within seven days of the original departure date (previously, airlines could get away with not doing this as long as they provided alternate transportation.)

This only applies to situations within the airline's control, such as mechanical issues or a software breakdown, rather than uncontrollable factors such as the weather. Some members of Congress are also currently trying tor block requiring airlines to issue such automatic refunds but, as of right now, the government said it is watching Southwest closely to make sure it compensates all affected passengers.

"DOT will be closely monitoring Southwest’s compensation program to ensure that passengers get the relief they are owed," the government agency said in a statement. "The airline must submit an annual report to DOT every May for the next three years detailing the voucher expenditures.”

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