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Bob Jordan (businessman)

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Bob Jordan
Jordan in 2024
Born
Robert Jordan
EducationTexas A&M University (BS, MBA)
OccupationBusiness executive

Robert Jordan is an American business executive who took on the role of chief executive officer (CEO) at Southwest Airlines on February 1, 2022.[1]

In June 2021, it was announced that Jordan would succeed Gary C. Kelly as the sixth CEO of the company in February 2022.[2] Previously he was executive vice president of corporate services for Southwest Airlines.

Education

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Jordan graduated from Texas A&M University with a computer science degree. He has both a bachelor’s degree and an MBA from the university.[3]

Career

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Before joining Southwest Airlines in 1988, he worked as a programmer and financial analyst for Hewlett-Packard.[2] During his time at Southwest, he has served in a wide variety of roles, notably previously running AirTran Airways following Southwest's acquisition of the carrier in 2011.[4]

In December of 2022, Jordan presided over the 2022 Southwest Airlines Scheduling Crisis, during which a significant number of flights were cancelled in the week following Christmas due to an operational systems failure.

Tenure as CEO and Controversies

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Robert Jordan's tenure as CEO of Southwest Airlines, beginning in February 2022, has been marked by a series of operational challenges, customer service issues, and controversies that have significantly impacted the airline's reputation and financial performance.[5]

2022: Early Challenges and Precursors to Crisis

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  • Spring/Summer Disruptions: Throughout the spring and summer of 2022, Southwest Airlines, along with the broader airline industry, experienced a high volume of flight delays and cancellations. While weather and air traffic control issues were cited, staffing shortages—particularly a lack of pilots—and the airline's point-to-point network contributed to these disruptions.[6]
  • Technology Issues (Pre-December): Recurring but less catastrophic technology glitches and outages affected Southwest's website, mobile app, and internal systems before December 2022. Passengers struggled to book flights, check in, and manage reservations during these outages.[7]
  • Baggage Handling Issues (Pre-December 2022): While not as severe as later problems, delayed and mishandled baggage remained common complaints throughout 2022.[8]
  • Continued Open Seating Frustrations (2022): Southwest's open seating policy—often referred to as a "cattle call"—continued to draw criticism from passengers seeking more predictable seat assignments, notably families or those with special seating needs.[9]
  • EarlyBird Check-In Costs (2022): EarlyBird Check-In fees, which allow earlier boarding positions, remained a point of contention among cost-conscious travelers.[10]
  • Customer Service Challenges (Pre-December): In 2022, many Southwest passengers reported long hold times and inconsistent assistance from customer service agents.[11]
  • Fare Increases: Facing inflationary pressures and rising fuel costs, Southwest raised ticket prices multiple times during 2022.[12]
  • Expiration of Some Flight Credits (2022): Although Southwest eliminated expiration dates for new flight credits in July 2022, credits issued prior to that still expired, causing some travelers to lose funds.[13]
  • Pilot and Flight Attendant Contract Negotiations (2022): Tense contract disputes with unions representing pilots and flight attendants fueled concerns of potential strikes or disruptions, affecting passenger confidence.[14]

December 2022: Holiday Meltdown

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  • Operational Failures: During the December 2022 holiday travel peak, Southwest canceled over 15,000 flights, citing severe winter storms and an outdated scheduling system. Crews could not be efficiently reassigned, leading to widespread disruptions.[15]
  • Major News Coverage: Outlets like The New York Times and The Wall Street Journal labeled it one of the worst holiday operational collapses in airline history.[16]
  • DOT Report: The U.S. Department of Transportation investigated the meltdown, issuing a detailed report on scheduling software failures and passenger refund issues.[17]
  • Baggage Recovery Delays: Many customers waited weeks to be reunited with luggage.[8]
  • Reimbursement Issues: The reimbursement process for hotels and alternate travel proved cumbersome, causing additional frustration among stranded passengers.[18]

2023: Continued IT Disruptions and Service Issues

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  • Frequent IT Disruptions: In April 2023, a total ground stop halted all Southwest flights for hours. System-wide outages recurred in May and October 2023, leading to further disruptions.[19][20][21]
  • Website and App Failures: Customers faced persistent login errors and crashed booking systems through 2023, prompting refunds and apology credits.[22]
  • Continuous Fare Increases (2023): Despite ongoing disruptions, Southwest raised fares several times in 2023, drawing criticism from travelers expecting improved reliability.[23]

2024: Continued Challenges and Cost-Cutting Measures

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  • Continuous Fare Increases (2024): Fare hikes continued into 2024, with passengers and analysts criticizing Southwest for not investing enough in technology and staffing to address systemic issues.[24]

2025: Lawsuits, Policy Changes, and Layoffs

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  • Chronic Flight Delays and Lawsuits: Persistent flight delays led to lawsuits filed against Southwest Airlines by the U.S. Department of Transportation in 2025.[25]
  • End of "Bags Fly Free": Southwest ended its signature "Bags Fly Free" policy in May 2025, introducing checked-bag fees for the first time.[26]
  • Introduction of Basic Economy Fares: In 2025, Southwest added Basic Economy fares, removing certain flexibility options and seat selection perks.[27]
  • Reintroduction of Expiring Flight Credits: Critics argued this policy shift penalized loyal flyers whose credits now carry expiration dates again.[28]
  • Charging for EarlyBird Check-In: The airline increased EarlyBird fees, prompting accusations of monetizing anxiety over boarding positions.[29]
  • Mass Layoffs: In 2025, Southwest announced 1,750 corporate layoffs—its first mass layoff—ending a 53-year practice of no involuntary cuts.[30]
  • Network Reductions: Southwest pulled service entirely from Bellingham, Cozumel, Houston Intercontinental, and Syracuse in mid-2025.[31]
  • Service Cuts: Service was also reduced at major hubs, notably Atlanta, drawing criticism from local officials.[32]
  • Lawsuits:
    • A $100 million lawsuit in New York alleged violations of weekly pay regulations.[33]
    • The City of Oakland sued Southwest for sick leave and minimum wage violations.[34]
    • Class-action lawsuits alleged interference with federally protected FMLA rights.[35]
    • A $100 million lawsuit claimed mismanagement of employee retirement plans, affecting over 60,000 staff members.[36]
  • Safety Concerns: The FAA launched intensive audits of Southwest following multiple near collisions, low-altitude incidents, and risky maneuvers.[37]
  • Pilot Lawsuits: Pilots filed separate legal actions over alleged safety issues tied to the Boeing 737 MAX.[38]
  • Open Seating Removal: Plans to retire the long-standing open seating policy by late 2025 were announced, ending the airline’s first-come, first-served boarding approach.[39]

Boeing 737 MAX Concerns

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  • Continued Reliance on 737 MAX: Southwest’s ongoing reliance on the Boeing 737 MAX, despite its troubled history, drew criticism from safety advocates concerned about potential future incidents.[40]

Impact on Culture and Values

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  • Destruction of Employee Morale: Many employees described a decline in Southwest’s historically positive culture, citing increased workload, layoffs, and concerns over management decisions.[41]
  • Abandonment of Core Values: Critics argued that numerous policy changes and cost-cutting measures signaled a departure from Southwest’s long-held "customer-first" ethos.[42]

References

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  1. ^ Koenig, David (10 January 2022). "Incoming CEO at Southwest Air faces numerous challenges". AP News. The Associated Press. Retrieved 1 February 2022.
  2. ^ a b Arnold, Kyle; Halkias, Maria (23 June 2021). "Southwest Airlines' Gary Kelly stepping down as CEO next year, exec Robert Jordan will take over". The Dallas Morning News. Retrieved 23 June 2021.
  3. ^ Josephs, Leslie (2022-02-02). "Bob Jordan is now Southwest Airlines' new CEO. Here's what's on his plate". CNBC. Retrieved 2024-02-01.
  4. ^ Koenig, David (23 June 2021). "Longtime Southwest Airlines CEO Gary Kelly to step down next year". Chicago Tribune. Retrieved 23 June 2021.
  5. ^ Lee, Michael (February 1, 2022). "Southwest Names Robert Jordan New CEO, Faces Operational Challenges". The New York Times. Retrieved March 11, 2025.
  6. ^ Johnson, Sarah (July 15, 2022). "Southwest Hit by Staffing Woes, Summer Delays". CNBC. Retrieved March 11, 2025.
  7. ^ Brown, Anna (November 10, 2022). "Tech Troubles Plague Southwest Ahead of Holiday Season". The Wall Street Journal. Retrieved March 11, 2025.
  8. ^ a b Hernandez, Rebecca (August 28, 2022). "Baggage Complaints Rise at Southwest Amid Summer Travel Surge". USA Today. Retrieved March 11, 2025.
  9. ^ Velotta, Richard (June 25, 2022). "Southwest will assign seats on flights, breaking 50-year tradition". Las Vegas Review-Journal. Retrieved March 11, 2025.
  10. ^ "EarlyBird Check-In". Southwest Airlines. Retrieved March 11, 2025.
  11. ^ U.S. Department of Transportation (October 5, 2022). "Customer Complaints Spike at U.S. Airlines, Including Southwest". Air Travel Consumer Report. Retrieved March 11, 2025.
  12. ^ Stevens, Robert (June 15, 2022). "Airlines Push Fares Up Amid Inflation, Southwest Among Carriers". Bloomberg. Retrieved March 11, 2025.
  13. ^ Southwest Airlines Community (July 15, 2022). "Flight Credits Policy Update". Southwest Community Forums. Retrieved March 11, 2025.
  14. ^ Green, Amy (September 10, 2022). "Southwest Pilots, Flight Attendants in Contract Showdown with Management". Reuters. Retrieved March 11, 2025.
  15. ^ "Southwest Airlines Official Statement on December Meltdown". Southwest Airlines. December 29, 2022. Retrieved March 11, 2025.
  16. ^ Smith, Tara (December 30, 2022). "Historic Holiday Meltdown at Southwest". The New York Times. Retrieved March 11, 2025.
  17. ^ "USDOT Investigates Southwest December 2022 Meltdown". U.S. Department of Transportation. March 1, 2023. Retrieved March 11, 2025.
  18. ^ Lee, Danielle (January 10, 2023). "Slow Reimbursement After Southwest's December Debacle". CNN. Retrieved March 11, 2025.
  19. ^ Garcia, Elena (April 18, 2023). "Southwest Orders Nationwide Ground Stop in April 2023". CNBC. Retrieved March 11, 2025.
  20. ^ Martin, David (May 15, 2023). "Another Southwest Tech Glitch Hits Summer Travel". The Wall Street Journal. Retrieved March 11, 2025.
  21. ^ Young, Peter (October 5, 2023). "Southwest Sees Third Major Outage of 2023". Bloomberg. Retrieved March 11, 2025.
  22. ^ USA Today Staff (July 20, 2023). "Southwest Website, App Face Repeated Failures in 2023". USA Today. Retrieved March 11, 2025.
  23. ^ Adams, Gregory (September 1, 2023). "Southwest Hikes Fares Amid Operational Turmoil". Forbes. Retrieved March 11, 2025.
  24. ^ Williams, Mark (February 10, 2024). "Southwest Continues Fare Hikes in 2024 Amid Service Complaints". Reuters. Retrieved March 11, 2025.
  25. ^ U.S. Department of Transportation v. Southwest Airlines (United States District Court July 15, 2025), Text.
  26. ^ Thompson, Natalie (May 1, 2025). "Southwest Airlines Ends Bags Fly Free Policy, Unveils New Fees". The Wall Street Journal. Retrieved March 11, 2025.
  27. ^ Waters, Amanda (March 5, 2025). "Southwest Rolls Out Basic Economy". CNN. Retrieved March 11, 2025.
  28. ^ Southwest Airlines Community (April 1, 2025). "Southwest Reintroduces Expiring Credits, Sparks Backlash". Southwest Community Forums. Retrieved March 11, 2025.
  29. ^ "EarlyBird Check-In (Updated Pricing)". Southwest Airlines. May 2, 2025. Retrieved March 11, 2025.
  30. ^ Henderson, Alicia (June 10, 2025). "Southwest Conducts First-Ever Mass Layoffs, Cuts 1,750 Jobs". NBC News. Retrieved March 11, 2025.
  31. ^ Scott, Lara (June 15, 2025). "Southwest Exits Four Airports in Network Shake-Up". USA Today. Retrieved March 11, 2025.
  32. ^ Turner, Philip (June 20, 2025). "Southwest Trims Atlanta Flights Amid Cost-Cutting Moves". The Atlanta Journal-Constitution. Retrieved March 11, 2025.
  33. ^ AP Staff (July 5, 2025). "Southwest Faces $100M Suit Over NY Pay Rules". Associated Press. Retrieved March 11, 2025.
  34. ^ Rodriguez, Luis (July 10, 2025). "Oakland Files Suit Against Southwest Over Labor Practices". East Bay Times. Retrieved March 11, 2025.
  35. ^ CourtListener Staff (August 15, 2025). "Southwest Faces Class Action Over FMLA Policy". CourtListener. Retrieved March 11, 2025.
  36. ^ Elliot, Sandra (September 1, 2025). "Southwest Sued for Alleged Retirement Plan Mismanagement". Bloomberg. Retrieved March 11, 2025.
  37. ^ Kim, Jason (July 30, 2025). "FAA Increases Scrutiny of Southwest After Near Misses". CNN. Retrieved March 11, 2025.
  38. ^ Barnes, Trevor (July 5, 2025). "Southwest Pilots Sue Airline Over 737 MAX Safety Concerns". NPR. Retrieved March 11, 2025.
  39. ^ "Southwest Announces End of Open Seating Policy". Southwest Airlines. August 1, 2025. Retrieved March 11, 2025.
  40. ^ Nelson, Brian (September 15, 2025). "Southwest's 737 MAX Dependence Raises Safety Questions". Reuters. Retrieved March 11, 2025.
  41. ^ Singh, Rajesh Kumar (February 2025). "Southwest Employees Report Declining Morale". Reuters. Retrieved March 11, 2025.
  42. ^ Grant, Leslie (November 20, 2025). "Has Southwest Drifted from Its Core Values?". Forbes. Retrieved March 11, 2025.