US Transportation Dept. investigating Southwest holiday travel meltdown

CNN
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The US Transportation Section explained it is in the early phases of an investigation into the Southwest Airlines holiday journey meltdown in December.

The probe consists of an assessment of no matter whether Southwest is scheduling far more flights than it can tackle.

“DOT is in the first stage of a demanding and complete investigation into Southwest Airlines’ vacation debacle that stranded millions,” a spokesperson for the office said.

The airline, America’s premier domestic provider, canceled additional than 16,700 flights amongst December 21 and 29. Southwest estimates the charge of those cancellations will be somewhere amongst $725 million and $825 miilion. A little bit extra than half the charge — amongst $400 million and $425 million — will occur from lost ticket earnings that will be refunded to shoppers.

Significantly of the relaxation is for compensation to the buyers for acquiring flights on other airlines, and for a reward 25,000 points in its frequent flier application. Numerous Southwest workforce will also obtain extra “gratitude” pay back for performing via the meltdown.

“DOT has created apparent to Southwest that it need to offer timely refunds and reimbursements and will hold Southwest accountable if it fails to do so. DOT is also probing whether or not Southwest executives engaged in unrealistic scheduling of flights which underneath federal regulation is deemed an unfair and deceptive follow. DOT will leverage the comprehensive extent of its investigative and enforcement energy to guarantee buyers are shielded and this approach will go on to evolve as the Section learns much more,” the spokesperson stated.

Southwest mentioned it is cooperating with the investigation.

“Our holiday flight program was thoughtfully built and available to our buyers with the backing of a reliable plan to work it, and with sufficient staffing,” said the airline’s statement. “Our techniques and processes grew to become stressed though doing work to recover from numerous days of flight cancelations across 50 airports in the wake of an unprecedented storm. We’re acutely targeted on finding out from this party, mitigating the threat of a repeat prevalence, and delivering the hospitality and outstanding support our buyers hope from us.”

Transportation Secretary Pete Buttigieg earlier reported the division “will use the fullest extent of its investigative and enforcement powers” if the airline does not observe by way of on reimbursing travelers for their extra expenditures.

– CNN’s Chris Isidore contributed to this report