Southwest hid signs of outdated technology that led to December failures, class action suit says

Texas Public Radio
KERA | By Toluwani Osibamowo
Published January 13, 2023 at 10:43 AM CST

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class action suit alleges Southwest failed multiple times since 2020 to mention financial and operational linked to outdated technology.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