Checked bag fees are hitting record highs as airlines up the ante.
So an airline can save $75 million in tax fees off its $1 billion revenue in domestic checked-bag fees.
The introduction of bag fees was also a response to the rise of low-price carriers like Spirit in the United States and Ryanair in Europe.
But airlines kept the bag fees in place and even raised them in an effort to make up for the lost revenue from change fees.
Bag fees have been a political punching bag.
Persons:
they’ve, Gary Leff, ”, Henry Harteveldt, Blaise Waguespack, Sen, Mary Landrieu, ” Leff, Pete Buttigieg, Leff, “
Organizations:
New, New York CNN, United Airlines, American Airlines, JetBlue, Alaska Airlines, Airlines, Department of Transportation, Delta SkyMiles American Express, Airlines ’, “ Airlines, Atmosphere Research, Embry, Riddle Aeronautical University, Ryanair, The Transportation Department
Locations:
New York, Denver, Dallas, Daytona Beach , Florida, United States, Europe