• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch

2

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

3

Current price of oil as of July 1, 2026

1

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch

2

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

3

Current price of oil as of July 1, 2026
North AmericaAir Travel

Less than a year after ditching its famous ‘bags fly free’ policy, Southwest is hiking prices again

By
Rio Yamat
Rio Yamat
and
The Associated Press
The Associated Press
Down Arrow Button Icon
By
Rio Yamat
Rio Yamat
and
The Associated Press
The Associated Press
Down Arrow Button Icon
April 8, 2026, 2:20 PM ET
southwest
Travelers check in with Southwest Airlines at Midway International Airport, Tuesday, Jan. 27, 2026, in Chicago. AP Photo/Erin Hooley
Add Fortune on Google for similar content.

Southwest Airlines is raising checked baggage fees by $10, less than a year after ending its “bags fly free” perk that long set it apart, as jet fuel costs have jumped since the start of the Iran war.

Recommended Video

Customers checking one bag will pay $45 starting on Thursday, while a second will now cost $55, according to Southwest. Some travelers will still receive a free first checked bag, including certain loyalty-tier members, eligible co-branded credit card holders and active-duty military members.

The move was made “as part of an ongoing analysis of the business and against the evolving global backdrop,” the Texas-based carrier said in a statement.

Southwest ended its generous, decades-old policy of allowing passengers to check two bags for free in May 2025, a move that marked a major shift for the carrier after years of marketing the perk as a key differentiator.

The airline now joins a growing list of U.S. carriers that have increased fees since the war in the Middle East began Feb. 28, sending oil prices swinging as fighting near the Strait of Hormuz disrupted global supplies. Threats to the narrow waterway where roughly a fifth of the world’s oil typically passes have pushed up jet fuel prices, which are refined from crude.

Delta Air Lines’ higher baggage fees took effect Wednesday. JetBlue and United Airlines also raised their bag fees last week.

Oil prices on Wednesday were plunging toward $95 per barrel after President Donald Trump announced a two-week ceasefire with Iran just before a deadline he had set for Tehran to open the Strait of Hormuz and allow oil tankers to exit the Persian Gulf. But prices remain well above pre-war levels amid ongoing risks that the conflict could continue.

Adding to the uncertainty, Iran closed the Strait of Hormuz again Wednesday in response to Israeli attacks on the Hezbollah militant group in Lebanon, casting doubt on whether the fragile ceasefire will hold.

The average price for a gallon of jet fuel in Chicago, Houston, Los Angeles and New York was $4.81 on Tuesday, up from $2.50 the day before the war started, according to Argus Media. The energy market intelligence company’s U.S. Jet Fuel Index tracks average prices across those major hubs.

Outside of the U.S., a number of carriers are responding by adding or increasing fuel surcharges, a tool that U.S. airlines don’t typically rely on.

The Fortune 500 Innovation Forum will convene Fortune 500 executives, U.S. policy officials, top founders, and thought leaders to help define what’s next for the American economy, Nov. 16-17 in Detroit. Apply here.
About the Authors
By Rio Yamat
See full bioRight Arrow Button Icon
By The Associated Press
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in North America

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in North America

U.S. Treasury Secretary Scott Bessent
EconomyDebt
AI’s $2.2 trillion deficit fix is already half fake, economists say
By Tristan BoveJuly 2, 2026
55 minutes ago
m
Politicsfraud
Trump fights fraud by freezing funding for New York’s Medicaid Fraud Control Unit
By Ali Swenson, Geoff Mulvihill and The Associated PressJuly 2, 2026
59 minutes ago
sb
North AmericaU.S. Department of the Treasury
Scott Bessent goes after the top Mexican cartel’s new billion-dollar business: gas stations
By Fatima Hussein and The Associated PressJuly 2, 2026
1 hour ago
t
PoliticsWhite House
Trump trots out the C-word — communism — not getting the memo that capitalism has been largely discredited with Gen Z
By Steven Sloan and The Associated PressJuly 2, 2026
1 hour ago
g
EnvironmentCalifornia
California bans ‘sell by’ labels to curb food waste and emissions
By Olga R. Rodriguez and The Associated PressJuly 2, 2026
1 hour ago
eggs
LawAntitrust
Egg companies made $1.22 billion in profit off a $6 carton — now they’re buying their way out of a price-fixing case with 53 million donated eggs
By Wyatte Grantham-Philips and The Associated PressJuly 2, 2026
2 hours ago

Most Popular

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch
Big Tech
As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch
By Marco Quiroz-GutierrezJuly 1, 2026
2 days ago
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
Success
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
By Sydney LakeJune 25, 2026
8 days ago
Current price of oil as of July 1, 2026
Personal Finance
Current price of oil as of July 1, 2026
By Joseph HostetlerJuly 1, 2026
1 day ago
Trump got a $78K pension from the Screen Actors Guild in 2025 because he appeared in Home Alone 2 in 1992
Politics
Trump got a $78K pension from the Screen Actors Guild in 2025 because he appeared in Home Alone 2 in 1992
By Sasha RogelbergJuly 1, 2026
1 day ago
CEO of $248 billion cybersecurity company says workers are about to face a ‘Darwinian moment’ thanks to AI: Evolve or get cut
Success
CEO of $248 billion cybersecurity company says workers are about to face a ‘Darwinian moment’ thanks to AI: Evolve or get cut
By Emma BurleighJuly 1, 2026
1 day ago
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
Success
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
By Preston ForeJune 27, 2026
5 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.