Five U.S. airlines have made more than $12 billion on seat selection fees from 2018 to 2023. Otherwise known as “junk fees,” airlines charge customers extra for things like seat selection and carry-ons to boost profits.
Missouri U.S. Sen. Josh Hawley was critical of airline executives from American, Delta, United, Frontier, and Spirit for paying gate agents to enforce a carry-on bag policy.
“Your airlines cumulatively have spent $26 million paying gate agents between 2022 and 2023 to catch passengers whose bags are a little bit too big,” Hawley said. “$26 million! I mean, if people want to know why it’s such a terrible experience to fly, this is news for them today.”
Hawley took issue with burdensome fees that just boost airline revenue.
“You are charging people for the same thing, one checked bag or one carry-on bag on the same flight people are paying wildly different prices for,” he said. “They have no idea what it’s going to be, I think people will be amazed to learn today.”
Hawley also grilled the executives for using algorithms to set fees, which can vary from flight to flight and customer to customer.
“Why do you make people enter in their age, and their geographic location and their gender before they can even see the cost of the seat? Why is that,” questioned Hawley.
That’s been in place since 2014,” said Bobby Schroeter, Senior Vice President – Chief Commercial Officer for Frontier Airlines.
“Yeah, but why? It’s because you’re using those personal characteristics to generate the fees,” Hawley interrupted.
“No,” responded Schroeter.
The hearing aims to shed light on the practices and explore possible regulatory measures to protect consumers.
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