Senate panel makes airline executives justify their fees

The Senate Permanent Committee on Investigations is looking into the fees that airlines charge for things that were once free - Image (c) ConsumerAffairs

Lawmaker says airlines view customers as ‘walking piggy banks’

Some airline executives have been called to Capitol Hill to explain to lawmakers why passengers are getting hit with so many fees.

The Senate Permanent Committee on Investigations convened the hearing after committee chair Sen. Richard Blumenthal (D-Conn.) called on the Department of Transportation and Treasury Department to conduct their own investigations.

“Airlines these days view their customers as little more than walking piggy banks to be shaken down for every possible dime,” Blumenthal said in a statement prior to the hearing.

“I further urge that, if the DOT determines that either Frontier or Spirit have engaged in unfair or deceptive practices in their implementation of ancillary incentive payments, it should prohibit the practices in question and access civil penalties if appropriate,” Blumenthal wrote in a letter the Transportation Secretary Pete Buttigieg.

American Airlines Chief Strategy Officer Stephen Johnson released a statement ahead of the hearing, explaining that it is up to the passengers whether or not they pay seat-selection fees.

‘Seat selection is voluntary’

“Our seat selection products are all voluntary,” Johnson wrote. “For customers who value sitting in more in-demand locations, we do offer the opportunity to pay for more desirable seats.”

Blumenthal said the subcommittee investigation found that five airlines collected $12.4 billion in combined revenue from seat fees between 2018 and 2023. 

Some airlines were facing bankruptcy during the financial crisis of 2008. It was at that time that airlines began charging a fee to check luggage, which had always been part of the cost of a ticket.

After that, other fees began to be assessed, including fees for options like extra legroom and aisle and window seats, which were once included in the standard ticket fare.