Economy & Labor

Southwest hid signs of outdated technology that led to December failures, class action suit says

KERA | By Toluwani Osibamowo

Published January 13, 2023 at 10:43 AM CST

FILE - A Southwest Airlines jet arrives at Sky Harbor International Airport, Dec. 28, 2022, in Phoenix.

Southwest Airlines intentionally concealed problems with its computer systems that led to thousands of flight cancellations over the holiday travel season, shareholders alleged in a lawsuit filed Tuesday.

The class action suit alleges Southwest failed multiple times since 2020 to mention financial and operational linked to outdated technology.

Those alleged shortcomings all came to a head when more than 10,000 flights were more than 10,000 flights were canceled around the holiday season. The suit points to the crew scheduling system Sky Solver as a root cause of the widespread delays.

Southwest's stock fell from a closing price of $36.09 on Dec. 23 to $32.19 on Dec. 28 — a drop of more than 12%.

The investors are seeking damages for what they argue is negligence by the company.

Neither Southwest nor lawyers for the plaintiffs immediately responded to requests for comment.

Got a tip? Email Toluwani Osibamowo at tosibamowo@kera.org.

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