United Airlines’ CEO Jeff Smisek said there is no going back to the ‘golden days’ of free baggage allowance, stating the policy of paying for checked bags is here to stay.
Speaking at a business lunch Smisek said people are ‘having difficulty recognizing that we’re now a business,’ after a decade of bankruptcies and subsequent mergers following the 9/11 attacks.
"They criticize us if we charge for more legroom. Let me tell you though, that’s what businesses do."
"If you want more data on your data plan so you can watch faster, better cat videos, you call AT&T, they’re happy to increase your data plan and they charge you for it," Smisek said.
The remarks come at a time when US airlines are feeling the heat from consumer groups and government over charges of collusion to keep fares high, and more recent accusations of price gouging following the deadly Amtrak crash.
Consumer groups not only oppose the ‘nickel and diming’ of airlines over added fees, but that there is little transparency over those fees at the time of booking.
The Transportation Department is currently considering amending rules to require airlines to disclose all ancillary fees at all points of sale.
