Baggage fees cover hidden labor costs
As a professional in the airline industry, I would like to respond to your June 18 article “Airlines have made $1.3 billion off bag fees so far this year, data shows.”
Much has been written about airlines charging for checked bags, but little is ever written about why. Just as there is a cost to transporting passengers, there is a cost to transporting their luggage, too.
Simply saying that airlines are “raking in” baggage fees fails to take into account the infrastructure necessary to process and transport checked baggage. According to a study conducted by Airlines for America, labor makes up twothirds of airlines’ total costs to transport checked bags — specifically the employees who handle bags at the ticket counter and the ramp. Airlines lease space at the airport to handle checked baggage, and there is the cost of ground equipment and baggage carousels.
The cost of transporting a checked bag used to be included in the total ticket price, but now it’s billed separately by most airlines. This allows passengers who don’t want to check a bag to pay less for their flight.
Speaking of paying less, passengers are paying less than ever before for their airline tickets. Inflation-adjusted air fares declined for a fourth consecutive year in 2018, hitting the lowest level since the Bureau of Transportation Statistics began keeping track in 1995. Even when ancillary fees are included, the price of air travel is lower than ever. John Heimlich
Vice president and chief economist Airlines for America
Washington, D.C.