Representing their respective airlines were Robert Schroeter, Senior Vice President and Chief Commercial Officer of Frontier Airlines, and Matthew Klein, Executive Vice President and Chief Commercial Officer of Spirit Airlines. Both executives faced intense questioning over policies that incentivize employees to charge passengers for carry-on baggage deemed too large, often in ways that catch travelers off-guard at the gate.
Hawley, visibly frustrated, pointed out that the two airlines had paid their employees a combined $26 million in bounty in 2022 and 2023 for enforcing strict baggage policies. These bonuses, he argued, effectively encourage airline staff to prioritize extracting additional fees from passengers rather than fostering a pleasant travel experience. “You’re paying your employees to police bags rather than serve customers. That’s not service; it’s a shakedown,” Hawley said. “Flying on your airlines is horrible. It’s a terrible experience, and this is why.”
Adding insult to injury, Schroeter and Klein both earn hefty salaries—Schroeter rakes in an estimated $2.4 million annually, while Klein’s compensation exceeds $2.8 million. Hawley’s critique took on an even sharper edge in light of these figures, highlighting the glaring disparity between executive pay and the everyday passenger’s travel experience. “It seems the only thing your companies are transparent about is how well you’re lining your own pockets while nickel-and-diming the public,” Hawley remarked.
Greed Over Service
The hearing laid bare a stark contrast between the airlines’ claims of offering affordable travel options and the reality faced by passengers, who often encounter surprise fees at the gate. Frontier and Spirit, two airlines notorious for their “no-frills” approach, justify these charges as part of their business model, which purportedly allows them to offer low base fares. However, the practice of rewarding employees for enforcing these fees paints a troubling picture of an industry more concerned with squeezing profits than ensuring fairness.
“It’s not enough that passengers pay for their ticket,” Hawley continued. “Now, they’re being nickel-and-dimed for carrying a bag that might be an inch too big. And worse, your airlines have turned gate agents into bounty hunters.”
“This isn’t about safety or efficiency—it’s about greed.”
Adding fuel to the fire, Air Canada announced this week that it would begin charging passengers for larger carry-on bags if they opt for the lowest-priced fare on North American and Caribbean routes, starting January 3, 2025. This move is seen by many as an audacious attempt to match the greed and appalling behavior exhibited by U.S. airlines. It’s as if Air Canada looked at the disgraceful practices being exposed in the U.S. Senate and said, “Hold my drink.”
Indeed, airlines now seem to be taking cues from the likes of United Healthcare, another industry infamous for squeezing profits at the expense of everyday consumers.
Unfair to Passengers
The senator’s critique resonates with many travelers who have experienced the stress and humiliation of being forced to pay exorbitant fees moments before boarding a flight. These practices disproportionately affect budget-conscious passengers, who often choose low-cost carriers precisely because of their advertised affordability. Hawley argued that the airlines’ tactics betray a lack of integrity, undermining consumer trust.
“You’re targeting people who can least afford these fees,” Hawley said. “Families, students, seniors on fixed incomes—they’re the ones who bear the brunt of this. And your solution is to pat yourselves on the back and hand out bonuses to the employees who enforce it? It’s disgraceful.”
Air Canada’s new policy further illustrates the insidious trend of airlines exploiting passengers under the guise of “transparency.” Instead of addressing concerns raised by lawmakers and passengers alike, the industry appears to be doubling down on its greed. Such moves erode trust and make air travel an increasingly hostile experience for the average traveler.
The Call for Accountability
The hearing underscores growing bipartisan concern about the airline industry’s fee structures, with lawmakers increasingly calling for regulatory measures to protect consumers. Hawley’s sharp questioning reflects broader frustrations with an industry that, despite receiving significant taxpayer support during the COVID-19 pandemic, continues to implement policies perceived as exploitative.
As the investigation continues, there is mounting pressure for airlines to reevaluate their fee practices and prioritize transparency and fairness over profit margins. Hawley’s fiery rhetoric serves as a reminder that unchecked corporate greed will not go unnoticed—and that the fight for consumer rights is far from over.