DOT Forgives $11 Million of Southwest Airlines Fine from 2022 Holiday Travel Fiasco

Image: Southwest Airlines plane landing at Baltimore/Washington International Airport. (Photo Credit: Patrick Clarke)
Image: Southwest Airlines plane landing at Baltimore/Washington International Airport. (Photo Credit: Patrick Clarke)
Eraine Wessler
by Eraine Wessler
Last updated: 3:45 PM ET, Sun December 7, 2025

During the 2022 holiday season, Southwest Airlines suffered an operational meltdown after a powerful Arctic front impacted U.S. airlines operations. In the end, Southwest had to cancel the highest number of flights and was the slowest to recover, actually cancelling additional flights after other domestic airlines had regained their footing.

In 2023, the airline announced it had agreed to pay a record-setting $140 million civil penalty levied by the United States Department of Transportation.

On Friday, the DOT amended the original order from the Biden Administration, waiving the final $11 million of the penalty. 

“Order 2023-12-11 assessed Southwest Airlines Co. a civil penalty of $140 million and required Southwest to pay $35 million to the U.S. Treasury in three installments—two installments of $12 million and one installment of $11 million. Southwest made one $12 million payment on February 5, 2024, and a second $12 million payment on January 31, 2025. The remaining $11 million is due and payable to the U.S. Treasury no later than January 31, 2026. In lieu of a payment of an $11 million civil penalty to the government, this order provides Southwest with an $11 million credit for significantly improving its on-time performance and completion factor through its $112.4 million investment in its Network Operations Control,” read the statement in part.

The DOT said that it believes that this approach is in the public interest, as it incentivizes airlines to invest in improving their operations and resiliency, which benefits consumers directly.


For the latest travel news, updates and deals, subscribe to the daily TravelPulse newsletter.

Topics From This Article to Explore

More From TravelPulse

Grow Your Travel Business With Certified Courses

Travel Agent Academy
Travel Agent Academy
Puerto Vallarta Specialist ProgramEnveloped in the beauty of a by-gone time, this colorful town on Mexico’s Pacific Coast is sure to win...
Travel Agent Academy
Travel Agent Academy
Korea Travel Specialist ProgramThis course will allow you to explore this fascinating country's incredible diversity of experiences...
Travel Agent Academy
Travel Agent Academy
Costa Rica Specialist ProgramCosta Rica Specialist Program academy ENROLL NOW Costa Rica offers golden shores, fish-filled waters,...
Travel Agent Academy
Travel Agent Academy
Puerto Vallarta Specialist ProgramEnveloped in the beauty of a by-gone time, this colorful town on Mexico’s Pacific Coast is sure to win...
Travel Agent Academy
Travel Agent Academy
Korea Travel Specialist ProgramThis course will allow you to explore this fascinating country's incredible diversity of experiences...
Travel Agent Academy
Travel Agent Academy
Costa Rica Specialist ProgramCosta Rica Specialist Program academy ENROLL NOW Costa Rica offers golden shores, fish-filled waters,...

Don't Miss These Travel Agent Events and Trainings

Watch Now!
Small Groups, Big AdventuresThursday, June 18, 2026
2:00pm ET
Join Trafalgar and Insight Vacations for an exclusive launch webinar introducing 56 new Small Group...
Upcoming Webinar
Discover Houston, A World in a CityMonday, June 22, 2026
2:00pm Eastern
Join Visit Houston for an inside look at one of the country’s most dynamic and diverse destinations....
Upcoming Webinar
Why Cruise, When You Can CunardWednesday, June 24 2026
2:00pm Eastern
When cruise is the option, Cunard is the difference. This session explores what sets the Cunard...
Watch Now!
Small Groups, Big AdventuresThursday, June 18, 2026
2:00pm ET
Join Trafalgar and Insight Vacations for an exclusive launch webinar introducing 56 new Small Group...
Upcoming Webinar
Discover Houston, A World in a CityMonday, June 22, 2026
2:00pm Eastern
Join Visit Houston for an inside look at one of the country’s most dynamic and diverse destinations....
Upcoming Webinar
Why Cruise, When You Can CunardWednesday, June 24 2026
2:00pm Eastern
When cruise is the option, Cunard is the difference. This session explores what sets the Cunard...