This story was originally published on MyNorthwest.com.
May 27 marked the last day to book a Southwest Airlines flight with free checked bags, as the airline ends its decades-old policy starting Wednesday, according to The Seattle Times.
After the start date, normal passengers will pay $35 for the first checked bag and $45 for the second. Only elite Rapid Rewards members, Business Select travelers, and those with the airline’s credit card will still receive free baggage benefits.
Southwest Airlines ends free bags, unveils fare and seating overhaul
Southwest has been under pressure to boost profits and cut 1,750 jobs earlier this year while reaching a boardroom deal with activist investor Elliott Management in October, The Seattle Times reported. Despite the changes, Southwest shares rose 3% on Tuesday, along with other airline stocks.
The policy change eliminates a key feature that has long set Southwest apart from its competitors. While the airline expects to earn $1.5 billion per year from baggage fees, it could lose $1.8 billion in business as a result, according to the media outlet.
The airline is also using this opportunity to introduce a new basic fare with fewer perks. Additionally, more changes are on the way with assigned seating replacing open boarding next year, The Seattle Times stated. Southwest also plans to offer red-eye flights and charge for extra legroom.
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