Air Canada and Southwest Airlines have joined a growing list of carriers now charging passengers for checked-in luggage, a trend that has drawn widespread criticism. Politicians and consumer groups are voicing their frustrations over what they call “junk fees,” which significantly increase the total cost of flying.
Travelers like Lauren Alexander and Sage Riley express anger at what they perceive as deceptive pricing tactics, where tickets seem affordable until baggage charges are added. In response, many passengers are opting to travel light, using only backpacks or carry-on bags to avoid extra charges.
Budget Airlines Reshaped Industry Norms, Fueling Baggage Fees and Carry-On Luggage Boom
Historically, amenities such as checked baggage, meal service, and seat selection were included in airfare. This changed with the emergence of budget airlines like FlyBe, which in 2006 began charging for checked luggage. Other budget carriers soon followed, pressuring traditional airlines to adopt similar practices to stay competitive.
American Airlines was the first U.S. airline to impose such fees in 2008. Today, these fees are a major source of revenue, with U.S. airlines earning over $7.2 billion from baggage charges in 2024 alone.
Baggage Fee Backlash Grows as Airlines Expand Charges and Travelers Shift to Carry-On-Only StrategyWith fees on the rise, travelers are increasingly avoiding checked baggage. This shift has led to a boom in the sales of compact suitcases designed to meet carry-on size requirements. Luggage companies like Antler report spikes in demand for small-dimension suitcases.
Social media has amplified this trend, with influencers like travel journalist Chelsea Dickenson generating millions of views on content related to packing hacks and testing carry-on luggage dimensions, signaling a consumer shift toward smarter, fee-avoiding travel habits.
Regulators and Airlines Clash Over Fairness of Rising Baggage and Ancillary Fees
The rapid increase in ancillary fees has prompted calls for regulatory intervention. U.S. senators have begun scrutinizing airline pricing, with one labeling the charges as “junk fees” and urging federal oversight. In Europe, consumer advocacy group Becu has filed a complaint against airlines that charge for carry-on bags, citing a 2014 EU court ruling that such baggage should not incur extra costs if it meets reasonable criteria. The lack of clarity around what constitutes “reasonable” continues to fuel the debate and may lead to future legal decisions.
Not all airlines have embraced the fee-heavy model. Indian budget carrier IndiGo stands out for not charging for check-in luggage, aiming for efficiency and reduced stress at boarding gates. This contrasts sharply with European low-cost carriers like Ryanair and Wizzair, which now even charge for overhead cabin luggage.
IndiGo’s philosophy of streamlining operations without nickel-and-diming passengers offers a compelling counterpoint to the prevailing industry norm and demonstrates that alternative models can exist within the competitive airline market.
