Southwest Airlines is working to recover horrible operational collapse During the holidays, which is expected to cost the airline up to $825 million. Not only the airline reimburse passenger expenses incurred as a result of cancellations, but the airline is also Award of 25,000 Rapid Rewards points passengers affected by operational problems.
While customers have no doubt been horribly impacted by all of this, I can’t help but feel bad for Southwest’s frontline employees — it wasn’t their fault at all, and they too suffered a lot from this mess. Many have been curious about what the airline would do to regain employee trust, and now we see the first example of this.
Southwest offers 25,000 SWAG points to its employees
As reported by The Dallas Morning News, on Friday, Southwest Airlines revealed an internal initiative to compensate employees for operational issues they have faced. As a sign of goodwill, the airline will offer the 66,000 active employees 25,000 SWAG points, which will be deposited on Monday.
SWAG points are different from Rapid Rewards points – they are internal currency points that can be redeemed through the company’s employee store. Points can be used for travel, Southwest merchandise, gift cards and Visa debit cards. 25,000 SWAG points can apparently be redeemed for around $400 worth of gift cards.
The announcement was made by Southwest CEO Bob Jordan, who apologized, acknowledging that management had let the workers down. Jordan wrote the following, in part:
“We let you down, and I’m sorry. I’m sorry for the physical and emotional toll. I’m sorry for the loss of time and memories that can never be replaced. Above all, I’m sorry for the damage to your trust and confidence.
My take on the Southwest gesture for employees
Communication from Southwest management has been horrible throughout the collapse, so it’s nice to see management finally apologizing to employees and making a material gesture.
Assuming those 25,000 SWAG points are worth around $400, that means the move could cost the airline around $26.4 million. This is only a small percentage of the overall cost of this collapse for the airline, although it is not negligible either.
I can’t imagine many Southwest employees feeling like they’ve been cured by this one act, although I hope it’s the first of many steps Southwest management has taken to make things right. .
Interestingly in mid-2021, Southwest celebrated its 50th anniversary, and for the occasion the airline gave all employees 50,000 Rapid Rewards points. On the surface, it was a higher value, although Rapid Rewards points aren’t as flexible as SWAG points.
If you ask me, what the airline should apologize to employees most for is the “state of emergency” it declared in Denver. The airline company threatened to terminate ramp employees for various reasons, in a way that can only be described as cruel.
To be honest, I suspect Southwest can easily get away with it in terms of customer perception, because people quickly forget that stuff. The much bigger question is whether Southwest can regain employee trust.
Historically, the corporate culture of the Southwest has been a real competitive advantage, and I wonder if that will continue to be the case. At the moment, I don’t think many employees at Southwest find their jobs to be “Just Plane Fun”.
At the end of the line
Southwest is finally doing something for employees after its collapse. The airline will award all employees 25,000 SWAG points, which correspond to points in the carrier’s internal currency. These points can be redeemed for approximately $400 in gift cards.
It’s nice to see Southwest apologizing to employees, although management has a lot of work to do to restore trust between them, in my opinion.
What do you think of this commercial gesture for employees in the Southwest?
0 Comments