Seats in the economy class cabin of an American Airlines Boeing 777-300ER aircraft.
Brent Lewin | Bloomberg | Getty Images
U.S. airline executives will defend seat fees before a Senate committee Wednesday after a subcommittee accused the industry of charging “junk” fares to bring in billions of dollars in revenue. It’s planned.
American Airlines, Delta Air Lines, United Airlines, Spirit Airlines and Frontier Airlines paid $12.4 billion in seat fees between 2018 and 2023, according to a report released Nov. 26 by the Senate Permanent Subcommittee on Investigations. brought about.
These surcharges occur for seats with extra legroom, “priority” positions near the front of the plane, or window or aisle seats, the report said.
“All of our seat selection products are voluntary,” Steven Johnson, American Airlines’ chief strategy officer, said in written testimony before the hearing. “For customers who value sitting in higher demand locations, we offer an opportunity to pay for more desirable seats.”
The Biden administration and some lawmakers have promised to crack down on so-called “junk” fares, and have singled out the airline industry as a target for cuts.
Executives at major airlines defended their strategy of offering several types of economy service and additional fees for certain seat and checked baggage selections that were free on tickets, saying these options were communicated to customers. said.
Meanwhile, airlines are racing to add premium seats to their planes to increase revenue.
“For example, fares that may require a fee to reserve a seat will clearly include a symbol indicating that a seat in a different fare class or a seat with extra legroom must be purchased for a fee.” said Johnson. “Similar information is included regarding potential baggage and other charges.”
Discount companies like Spirit and Frontier, which pioneered the paid model in the U.S., encouraged competitors to invent their own bare-bones, basic economy classes. Spirit filed for Chapter 11 bankruptcy protection in November after a failed acquisition by JetBlue Airways, a Pratt & Whitney engine recall, increased competition and stricter consumer preferences.
The hearing, which begins at 10 a.m. ET, will also include testimony from executives from Delta Air Lines, United Airlines, Frontier Airlines and Spirit Airlines.
