2019 marked Southwest’s 47th consecutive year of profitability—proof that our People-centric approach to business continues to resonate with Customers. Our Employees, Customers, Shareholders, suppliers, and community groups all contribute to the many opportunities we see for the future of our Company. Our citizenship initiatives give us an opportunity to invest in the People and Places our future depends on. Welcome to the 2019 One Report.
In order to be transparent and consistent when we talk about our citizenship initiatives, we report on our efforts each year in the following areas:
The 2019 Southwest One Report references the Global Reporting Initiative (GRI) Standards. Disclosures corresponding to the Standards can be found in this GRI Index. The GRI Standards include all of the main concepts and disclosures from the G4 Sustainability Reporting Guidelines, with changes mostly involving structure and format.
Information is presented in the 2019 Southwest One Report with respect to performance related to our corporate social responsibility key topics, a term we use instead of materiality to avoid confusion with key financial information.
| Indicator | Description | Detail/Location in Report |
|---|---|---|
| 102-1 | Name of the organization | Southwest Airlines Co. |
| 102-2 | Activities, brands, products, and services | Reporting on Business Performance |
| 102-3 | Location of headquarters | 2702 Love Field Dr. Dallas, Texas 75235 USA |
| 102-4 | Location of operations | We operate in eleven countries: the United States, Mexico, Jamaica, The Bahamas, Aruba, Dominican Republic, Costa Rica, Cuba, Belize, the Cayman Islands, and Turks and Caicos. |
| 102-5 | Ownership and legal form | Reporting on Business Performance |
| 102-6 | Markets served | We serve business and leisure air travelers, and in 2019 operated in the U.S. domestic market as well as some parts of Mexico, Central America, and the Caribbean region. 30,000 Foot View The Fleet |
| 102-7 | Scale of the organization | Reporting on Business Performance |
| 102-8 | Information on employees and other workers | People Data Table |
| 102-9 | Supply chain | To support our operations, we purchase goods and services from more than 4,000 sources across multiple continents and countries, but given our network footprint as a North American carrier, the vast majority of our supply base and spend is in the U.S. domestic market. We maintain relationships directly with various types of suppliers, including service providers, contractors, manufacturers, brokers, and wholesalers. Our intent is to provide Southwest with the highest quality products and services at the lowest total costs. While we have dedicated Teams within our Supply Chain Management Department such as Fuel Management, Aircraft Maintenance, Technology, and Direct and Enterprise Procurement, we strive to manage our supply chain holistically and to optimize system efficiency by utilizing analytically rigorous and dynamic approaches. Our Supply Chain Management Department has a Team dedicated to monitoring supplier performance, assessing risk and planning in the event of supply chain disruptions, and analyzing our supply chain spend so we can continuously improve performance. Our responsibility to respect and protect human rights also encompasses our supply chain. We partner with our suppliers not only because of the impact they have on the products and equipment we use in the skies, on the ground, and in our offices, but also because of their impact on our triple bottom line of People, Performance, and Planet. We look to build sustainable relationships with our suppliers to help fulfill our operational needs, stimulate economic growth in the communities we serve, and satisfy the expectations of our Stakeholders while taking into account, among other things, small and minority owned businesses and our Code of Ethics. We expect that all suppliers comply with applicable laws, including those regarding child or forced labor. |
| 102-10 | Significant changes during the reporting period regarding size, structure, or ownership | Reporting on Business Performance |
| 102-12 | Externally initiatives | Airlines for America (A4A) climate change commitment Public Relations Research Standards Diversity Best Practices: the preeminent organization for mid- to large-size organizational diversity thought leaders to share best practices and develop innovative solutions for culture change. Each Southwest Employee can logon using their wnco.com email. |
| 102-13 | Membership associations | Airlines for America (A4A) climate change commitment Public Relations Research Standards National Diversity Council Board Catalyst: Workplaces That Work for Women Workforce Solutions Greater Dallas Board: the local organization mandated to implement a system of services that complement economic development as a resource for employers to access the quality employees they need, and training individuals to be successfully employed. |
| Indicator | Description | Detail/Location in Report |
|---|---|---|
| 102-14 | Statement from senior decision-maker | A Word from Gary Reporting on Business Performance |
| Indicator | Description | Detail/Location in Report |
|---|---|---|
| 102-16 | Values, principles, standards, and norms of behavior | Purpose, Vision, Values, and Mission Statements Investor Relations Supplier Information |
| Indicator | Description | Detail/Location in Report |
|---|---|---|
| 102-18 | Governance structure | Reporting on Business Performance Company Officers Board of Directors Board Committees Corporate Governance Guidelines Corporate Policies |
| Indicator | Description | Detail/Location in Report |
|---|---|---|
| 102-40 | List of stakeholder groups | Customers, Employees, NGOs/Community Groups, Suppliers, Shareholders, and Regulators. |
| 102-41 | Collective bargaining agreements | As of Dec. 31, 2019, approximately 83 percent of our Employees are covered by collective bargaining agreements. |
| 102-42 | Identifying and selecting stakeholders | We maintain engagement channels with the Stakeholders who we believe may impact, or be impacted by, our business. Our Approach |
| 102-43 | Approach to stakeholder engagement | Customers: Customer Experience surveys are sent to a representative sample of Customers each day post-travel. Daily interaction with our Customer Service Representatives with phone calls, email, or social media. Monthly brand and reputation monitoring and other ad hoc research through our Listening Center and Customer Insights Team. Personal contact during travel experience with Customer Service Agents and Flight Crews. Employees: Daily internal communications on our intranet, including news, department information, blogs, and the monthly news recap via video. Employees are able to interact in the comment sections. Monthly newsletters, annual Southwest Rallies, ongoing union meetings, and scheduled Employee surveys. NGOs/Community Groups: Ongoing efforts with the Chambers of Commerce in each of our domestic cities, working with a variety of charitable organizations, one-on-one meetings or calls with industry associations or community influencers, and attending or speaking at community partner events throughout 2019. Suppliers: Ongoing efforts via emails, meetings, the RFP process, and supplier performance reviews. Shareholders: Ongoing communication with our Investor Relations department via phone calls, email, and mail, Investor presentations, Annual Meeting of Shareholders, and the Investor Relations website. Regulators: Ongoing engagement through permitting, compliance, and reporting activities, safety testing, audits, and screenings. Southwest Airlines Charitable Grant Introducing Customer Chat Hawaii Service Launch |
| 102-44 | Key topics and concerns raised | Throughout this report. |
| Indicator | Description | Detail/Location in Report |
|---|---|---|
| 102-45 | Entities included in the consolidated financial statements | Reporting on Business Performance |
| 102-46 | Defining report content and topic Boundaries | Southwest regularly monitors our Stakeholder interests through various channels and communications to attempt to better understand what is important to them. We work to balance those interests with the learnings we gathered through a benchmarking analysis of our industry in 2016 and early 2017, in an effort to create a reasonable and balanced representation of our corporate citizenship efforts related to Environmental, Social, and Governance indicators. |
| 102-48 | Restatements of information | See data tables for any restatements of information provided in previous reports: People Data Table Performance Data Table Planet Data Table |
| 102-49 | Changes in reporting | There are no significant changes from previous reporting periods in the Scope and Aspect Boundaries. |
| 102-50 | Reporting period | Calendar Year 2019, unless otherwise stated. |
| 102-51 | Date of most recent previous report | April 22, 2019 |
| 102-52 | Reporting cycle | Annual, calendar year. |
| 102-53 | Contact point for questions regarding the report | SWACitizenship@wnco.com |
| 102-55 | GRI content index | Corporate Sustainability Reporting Framework |
| 102-56 | External assurance | Assurance Statement for 2019 Greenhouse Gas Inventory |
| Indicator | Description | Detail/Location in Report |
|---|---|---|
| Economic Performance | ||
| Jobs and benefits, returns on investment, business partnerships, and Customer Service and Safety are all ways in which our economic performance matters to our Employees, Customers, Shareholders, suppliers, and the communities in which we operate. We strive to continuously improve our Performance by focusing on our Purpose, and our People are dedicated to fulfilling our Vision. Southwest is known for a triple bottom line approach that contributes to our performance and productivity. Employees share in Southwest’s success with our ProfitSharing Plan, the first in the airline industry. This approach helps us retain Employees, reducing turnover costs. We expect our market presence to generate substantial savings for our Customers through the well-known “Southwest Effect” of invigorating competition by reducing fares and stimulating additional Passenger traffic in the cities where we fly. Our commitment to the Planet helps us manage costs by using resources efficiently and identifying emerging environmental trends and risks. In the air, we're conserving jet fuel and improving our emissions intensity. Given fuel is one of our largest expenses, operating with a green filter is not only good for the environment, it’s also good for our bottom line. Regarding our position on the potential risks associated with climate change, in our CDP (formerly the Carbon Disclosure Project) response, we identified risks associated with regulatory change and physical climate risks, such as extreme weather events, as having the potential to create operational complexities. These complexities may affect airline operations, which could result in impacts to operational and capital costs and ontime performance. Performance Data Table |
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| 201-1 | Direct economic value generated and distributed | Reporting on Business Performance A Decade of Consistent Performance Hawaii Service Launch Heart of the Community Southwest Airlines Charitable Grant D225: Bolstering Our Talent Pipeline Introduction of Parental Leave Honoring Herb Southwest's Low-Cost Business Model The Boeing 737 MAX Hawaii Performance Data Table |
| 201-2 | Financial implications and other risks and opportunities due to climate change | Southwest has voluntarily reported our greenhouse gas emissions through CDP for the past 11 years. In our CDP response, we quantify climate change impacts, risks, and opportunities on our business, and provide information on how we’re integrating climate change into our business strategy. You can find Southwest’s CDP response at www.cdp.net. We have invested more than $620 million in fuel efficiency projects since 2002. Planet Data Table |
| 201-3 | Defined benefit plan obligations and other retirement plans | We invested more than $1.2 billion in our Employees through 401(k) contributions and, based on our record 2019 ProfitSharing award of $667 million, the majority of which was paid to the retirement plan. For the 2019 plan year, each eligible Employee received a ProfitSharing award equal to approximately 12.2 percent of eligible compensation, paid in 2020. Southwest paid part of the ProfitSharing award to the retirement plan and part in cash. Most Employees received 10 percent of eligible compensation as a contribution to the ProfitSharing Plan and the remainder—approximately 2.2 percent—in cash. Some Employees received the entire ProfitSharing award as a contribution to their retirement plan as specified in their collective bargaining agreement. Reporting on Business Performance People Data Table |
| Indirect Economic Impact | ||
| Our performance impacts more than our Company. Our market presence and low fares stimulate economies in cities where we fly. We also make investments in infrastructure and services that more broadly affect the communities we serve in terms of jobs, access to services, or other impacts. Working with local communities and regulators, we strive to maximize the benefits of our investments to local and regional economies. | ||
| 203-2 | Significant indirect economic impacts | Hawaii Service Launch A Decade of Consistent Performance People Data Table Performance Data Table |
| Anti-Corruption | ||
| At Southwest, we strive to maintain accountability and transparency of our business practices to reduce or eliminate corruption. We require all Employees to annually certify receipt and understanding of our Code of Ethics and Insider Trading Policy. We also employ robust auditing procedures to analyze and monitor business activities, which further enhance our ability to maintain high ethical standards. We continually review our systems to provide transparency and accountability, and we update our corporate governance policies when needed. | ||
| 205-2 | Communication and training about anti-corruption policies and procedures | In 2019, more than 64,000 Southwest Airlines Employees and certain business associates certified receipt of Code of Ethics and Insider Trading policy. During 2019, we also distributed our Foreign Corrupt Practices Act Policy and Anti-Corruption Compliance Procedures to all Company Officers, Senior Leaders of all departments, and select Employees and contractors who are involved with Southwest’s financial records and/or international operations. In 2019, more than 3,000 individuals received and completed a compliance questionnaire regarding the Foreign Corrupt Practices Act. Corporate Governance Guidelines |
| Indicator | Description | Detail/Location in Report |
|---|---|---|
| We recognize the importance of environmental stewardship and believe it’s our responsibility to protect our planet now and for future generations. We do our part to make environmentally responsible decisions and to minimize our impact on the environment by collecting and analyzing information on our energy consumption, emissions, and waste, and continually improving the actions we take to mitigate our impacts. We set goals and use an environmental management system (EMS) and chemical management system (CMS) to help us maintain compliance with environmental regulations, minimize costs and risk, and measure our efforts to improve our environmental performance. Given that fuel is one of our largest expenses and the burning of it produces greenhouse gas (GHG) emissions, we strive to reduce future emissions while continuing to provide safe, reliable, and affordable air transportation for our Customers. A third party assessment of Southwest’s 2019 GHG emissions Inventory has been completed in accordance with AA1000 Assurance Standard. This assurance engagement included our Scope 1, Scope 2, and Scope 3 GHG emissions. Reference: Assurance Statement for 2019 Greenhouse Gas Inventory. We are currently meeting our GHG emission targets without using carbon offsets. Southwest’s Leaders and Employees are responsible for minimizing our impact on the environment by: • Complying with all environmental laws and regulations • Striving to meet our annual goal of zero environmental violations in our operations • Maintaining our EMS, following procedures, and training our Employees to meet our compliance goals • Continuing to improve our performance regarding our environmental goals and initiatives, including our goals for reducing GHG emissions intensity • Auditing our operations for environmental compliance and implementing corrective actions where needed • Auditing our environmental vendors to verify their operations are compliant and they demonstrate a commitment to environmental stewardship • Providing transparency of our environmental performance to our Stakeholders through public reporting and third-party verification and assurance of our GHG emissions inventory • Conserving natural resources, including efficient use of water and raw materials, and using alternative fuels and renewable energy where possible, while continuing to meet our operational requirements • Minimizing waste, pollution, and emissions from our operations and preventing it where possible, while remaining true to the triple bottom line of Performance, People, and Planet Maintaining compliance with all local, state, and federal environmental laws and regulations is fundamental to our environmental policy. We continually work to meet our annual goal of zero recorded environmental violations. Our Environmental Services Team regularly conducts audits to review compliance, and we are working to improve our performance by maintaining and improving our EMS, following environmental guidelines and procedures, implementing corrective action, and training our Employees to meet our compliance goals. Our standard auditing protocol assesses a location’s record keeping, permit status, and compliance with requirements of regulatory plans such as Storm Water Pollution Prevention Plans and Spill Prevention, Control, and Countermeasure Plans. We perform a visual walk through inspection to confirm that key compliance practices are enacted in each of the cities we serve. We also track spills at all of our locations, audit findings and corresponding corrective action, and information about permits and their expiration dates. Planet Data Table |
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| Energy | ||
| 302-1 | Energy consumption within the organization | Fuel Efficiency The Boeing 737 Max Planet Data Table |
| 302-3 | Energy intensity | The Boeing 737 Max Planet Data Table |
| 302-4 | Reduction of energy consumption | Building Performance The Boeing 737 Max Fuel Efficiency Planet Data Table |
| 302-5 | Reductions in energy requirements of products and services | Our fuel efficiency (available seat miles111111) An available seat mile (ASM) is one seat (empty or full) flown one mile. Also referred to as “capacity,” which is a measure of the space available to carry Passengers in a given period. per gallon of fuel) decreased from 76.3 in 2018, to 75.7 in 2019, due to the grounding of the MAX112112) National Archives. (2019, March 18). Operators of Boeing Company Model 737-8 and Boeing Company Model 737-9 Airplanes: Emergency Order of Prohibition (A Rule by the Federal Aviation Administration on March 18, 2019. Federal Register: The Daily Journal of the United States Government. Washington, D.C. https://www.federalregister.gov/documents/2019/03/18/2019-05067/operators-of-boeing-company-model-737-8-and-boeing-company-model-737-9-airplanes-emergency-order-of. The Federal Aviation Administration issued an emergency order on March 13, 2019, for all U.S. airlines to ground all Boeing 737 MAX aircraft., our most fuel-efficient aircraft. The Boeing 737 Max Planet Data Table |
| Water and Effluents | ||
| 303-1 | Interactions with water as a shared resource | Planet Data Table |
| Emissions | ||
| 305-1 | Direct (Scope 1) GHG emissions | Greenhouse Gas Emissions The Boeing 737 Max Planet Data Table |
| 305-2 | Energy indirect (Scope 2) GHG emissions | Greenhouse Gas Emissions Planet Data Table |
| 305-3 | Other indirect (Scope 3) GHG emissions | Planet Data Table |
| 305-4 | GHG emissions intensity | Greenhouse Gas Emissions The Boeing 737 Max Planet Data Table |
| 305-5 | Reduction of GHG emissions | Greenhouse Gas Emissions The Boeing 737 Max Planet Data Table |
| 305-6 | Emissions of ozone-depleting substances (ODS) | One of the most important issues surrounding chemical management is the use of ozone-depleting substances. The ozone layer prevents harmful ultraviolet light from passing through the atmosphere, and the use of these substances can cause a decrease in the total volume of the ozone layer. Potential ozone-depleting substances Southwest presently uses include refrigerants found in the HVAC systems and appliances of Southwest operated buildings and the air conditioning systems of company vehicles. Based on an upper-bound assumption of the expected losses that would occur from Southwest facilities, we have determined that the emissions from these refrigerants represent less than 0.02% of our total greenhouse gas emissions. We do not produce or import ozone-depleting substances in Southwest operations. |
| 305-7 | Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant air emissions113113) NOx and SOx emissions are reported in our annual emissions inventories for our DAL and PHX facilities. Data is from prior year due to air emissions reporting cycle. | Planet Data Table |
| Effluents and Waste | ||
| 306-2 | Waste by by type and disposal method | Efficient Material Use in Our Operations Repurpose With Purpose Planet Data Table |
| 306-3 | Significant spills | In 2019, we had one spill that was reportable to the National Response Center per regulatory requirements. This spill was contained within an impervious area and there were no environmental impacts. We recognize that spills of chemicals, oils, and fuels can have a significant impact on our planet, so we make every effort to prevent them. However, we acknowledge that despite our best efforts, some spills do happen because of equipment failure or human error. We provide our Employees 24/7 access to guidance and emergency response assistance with spill response, and we track our spills using an online spill reporting form. This not only makes it simple for our Employees to report a spill in a timely and accurate manner, but it also provides automatic notification to the entire Environmental Services Team upon submittal for quick response and regulatory agency reporting when required. The Environmental Services Team also compiles and analyzes details from all spills so operating groups can assess spill prevention strategies. |
| Environmental Compliance | ||
| 307-1 | Non-compliance with environmental laws and regulations | Planet Data Table |
| Indicator | Description | Detail/Location in Report |
|---|---|---|
| Employees are the heartbeat of Southwest. We focus on bringing the best People into the Southwest Family with a competitive compensation and benefits package. We then provide a positive working environment, training, and encouragement to help them succeed. Therefore, our approach to employment and labor practices is a critical strategy guided by our Executive Vice President Corporate Services and our People and General Counsel Departments, which includes a section devoted solely to Labor and Employee Relations. We are committed to: • Seeking talented People • Maintaining positive union relations • Investing in training and educational opportunities to enhance Employees’ skills • Fostering an atmosphere that promotes equal opportunity • Providing our Employees with a safe and stable work environment • Maintaining equal opportunity for learning and personal growth We conduct scheduled Employee surveys to assess job satisfaction of our Employees, and we use information from the surveys to improve our ability to attract, develop, and retain talented Employees who will help us meet Southwest’s business needs today and tomorrow. In conjunction with Southwest Airlines University (SWA U), Diversity and Inclusion, and other Departments, our People Department’s priorities include (but are not limited to): attracting, developing, and retaining a diverse workforce; providing opportunities for learning, development, career growth, and movement within the Company; evaluating compensation and benefits, and rewarding performance; investing in physical, emotional, and financial health; obtaining Employee feedback; maintaining and enhancing Company Culture; and communicating with the Board of Directors on a routine basis on key topics including Executive succession planning. People Data Table |
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| Employment | ||
| 401-1 | New employee hires and employee turnover | People Data Table |
| 401-2 | Benefits provided to full-time employees that are not provided to temporary or part-time employees | In 2019, more than 64,800 active and inactive Southwest Employees participated in at least one component of the Company’s Employee benefits program. Southwest offers standard benefits to both full-time and part-time Employees. In the case of tuition reimbursement, Southwest provides the following maximum annual benefit, which will be counted toward the calendar year in which reimbursement is made: • Graduate Degrees: $5,000 for a full-time Employee, $2,500 for a part-time Employee • Undergraduate Degrees, Undergraduate Certificates, Certifications, and Individual Courses: $2,500 for a full-time Employee, $1,250 for a part-time Employee Many of the components offered to Employees in our Employee benefits program also are offered to dependents and/or committed partners. Employee Benefits Introduction of Parental Leave People Data Table |
| Training and Education | ||
| 404-1 | Average hours of annual employee training per year per employee | People Data Table |
| Diversity and Equal Opportunity | ||
| 405-1 | Diversity of governance bodies and employees | Diversity and Inclusion People Data Table |
| Indicator | Description | Detail/Location in Report |
|---|---|---|
| At Southwest, we are strong supporters of protecting each individual’s basic human and civil rights and are guided by fundamental principles to not only comply with the law at all times, but also to avoid the appearance of impropriety in the actions of our Employees and our business partners. One of our key corporate responsibilities is to respect human rights within our operations and throughout our value chains. We reflect these principles in various policies and our conduct toward Employees, Customers, suppliers, and the communities where we serve. We have created and adhere to Company policies to support and respect the protection of human rights within our sphere of influence. These policies include our commitment to: • Prohibit any form of harassment, discrimination, or retaliation in the workplace based on race, color, religion, age, sex, sexual orientation, gender identity, pregnancy, marital status, national origin, disability, veteran status, genetic information, or other legally protected statuses • Respect the right of Employees to associate freely • Recognize lawful rights of Employees to choose or not choose collective bargaining representation Corporate Policies |
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| Freedom of Association and Collective Bargaining | ||
| 407-1 | Operations and suppliers in which the right to freedom of associations and collective bargaining may be at risk | We have not identified operations or suppliers where the right to exercise freedom of association and collective bargaining are being violated. We take preventative measures to avoid this risk by implementing our Code of Conduct. Corporate Policies |
| Human Rights Assessment | ||
| 412-2 | Employee training on human rights policies or procedures | Over 29,000 Employees and over 8,200 contractors received training on Human Rights in 2019. We conduct training on human rights issues as they relate to harassment, discrimination, or retaliation for all New Hires. Human rights training and information (including training on human trafficking and notification to law enforcement authorities) are available for existing Employees through a variety of vehicles, including our Guidelines for Employees, our Disability Discrimination and Workplace Accommodation Policy, in both written and audio versions, and our Most Compliant Leader training, a program required bi-annually of all Leaders, Supervisors, and above, and our harassment online learning module. We are currently working on more robust human trafficking training for our Frontline Employees. There is a growing focus on human trafficking at Southwest and in the airline industry. In early 2019, more than 600 of our Senior Leaders attended a presentation on human trafficking by Bradley Myles, CEO of Polaris. A Southwest Community Outreach partner, Polaris is a leader in the global fight to eradicate modern slavery and disrupts the human trafficking networks that rob human beings of their lives and freedom. Policy on Harassment, Sexual Harassment, Discrimination, and Retaliation Policy on Harassment, Sexual Harassment, Discrimination, and Retaliation Human Trafficking Awareness Curriculum People Data Table |
| Local Communities | ||
| We understand the powerful impacts that our Company can have on the social systems within which we operate and our responsibility to be a good corporate citizen. That is why we have a Social Topics Committee and Community Outreach Department committed to engaging and giving back in the communities where our Customers and Employees live and work. In response to a growing number of requests from the public about Southwest’s stance on various issues, the Social Topics Committee was formed in 2015, and is a cross-functional Team that examines how the Company will engage in a variety of social topics. The Committee reviews and discusses social topics and inquiries, employs guidelines to measure impact on perception, and routinely engages Senior Executives on its proposed level of engagement and responses. The Committee uses a decision framework with guiding principles of speed, courage, and consistency. Factors that are considered when deciding if and how to respond include the impact on our Employees, the public perception of our response, the potential impact to our brand and reputation, and the effect on our business and our Customers. Through our Community Outreach Teams, we provide support, leadership, and encouragement to a variety of local, civic, and charitable organizations. We believe in connecting People and championing the communities where our Employees live and work, and we strategically invest our resources to support needs and the causes that matter most to those communities. Our Employees get involved through volunteering, serving as ambassadors, and participating on Community Giving Boards to help direct support to local organizations. Community Giving Boards are made up of local Employees from various work groups who evaluate donation requests Southwest receives from nonprofit charitable organizations in their community. The Boards donate complimentary, round-trip travel to approved organizations for fundraising or transportation purposes. People Data Table |
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| 413-1 | Operations with local community engagement, impact assessments, and development programs | Civility and Kindness Hawaii Service Launch Heart of the Community Giving Back Southwest Airlines Charitable Grant The Southwest Green Team Repurpose With Purpose People Data Table |
| Public Policy | ||
| We must continually adapt to new laws and regulations. Legislative and regulatory changes have the potential to limit our opportunities for growth, and government policies and legislation can have a deep impact on how we do business. We present our views on these topics to a wide range of policymakers and stakeholder groups through trade associations, chambers of commerce, and interactions with public officials at the federal level and in the states and communities we serve. We participate in industry associations such as Airlines for America (A4A) and have developed our own public outreach program for our Employees called the Key Contact Program. Our involvement allows us to gain insight into core issues for the airline industry as a whole and to advocate jointly for regulations that support a healthy, competitive industry. We also benefit from the opportunity to share technical expertise and operational knowledge that leads to improved margins of Safety and security, greater Employee and Customer satisfaction, and better overall operational efficiency and reliability. Southwest has adopted a policy that it will primarily use its affiliated political action committee, the Southwest Airlines Co. Freedom Fund (Freedom Fund), which is financed through voluntary Employee contributions, to support political campaigns, and that Company funds will be limited to supporting selected political campaigns at the state and local level in compliance with the laws of the relevant states and localities. All political campaign contributions from the Freedom Fund or by the Company directly are approved by the Senior Vice President of Governmental Affairs and Real Estate and overseen by Southwest’s Executive Vice President, Chief Legal and Regulatory Officer, with an annual summary of those contributions provided to the Southwest Board of Directors. All political contributions are intended to promote the interests of the Company and are not guided by any private political preferences of any Employee. All contributions by the Freedom Fund are disclosed via publicly available reports filed monthly with the Federal Election Commission. The Company strives to comply with all applicable federal, state, and local campaign finance restrictions and disclosure requirements. |
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| 415-1 | Political Contributions | In 2019, contributions from the Freedom Fund totaled $97,100 to political committees at the federal level and $25,250 to political committees at the state and local level. Moreover, the Company contributed $50,300 directly to political campaigns at the state and/or local level in eight states (California, Colorado, Georgia, Illinois, Kansas, Louisiana, Maryland, and Nevada). In 2019, the Company did not support or finance any state or local ballot measure before voters. At the federal level, no Company funds were used to support or finance any political campaign, nor did the Company support or finance any so-called “Super PACs” or any political committees organized under section 527 of the Internal Revenue Code. The Company made no contributions to a politically affiliated 501(c)(4) organization in 2019. In 2019, A4A, our airline industry trade association, determined that $1,265,600 of the total dues paid by the Company to A4A were nondeductible lobbying expenses. Southwest also paid dues to several other national, state, and local trade associations and chamber organizations, in which a portion of those dues were used by these organizations for nondeductible lobbying activities; however, in all cases, that portion was less than $6,000 annually for each organization. |
| Health and Safety | ||
| At Southwest, we are committed to the Safety and Security of our Customers and Employees—it’s our number one priority. We continually work to create and foster a Culture of Safety and Security that proactively identifies and manages risks to the operation and workplace before they can become injuries, accidents, or incidents. We strive to manage our Culture of Safety and Security through establishing and annually reviewing Safety related objectives, establishing and promoting Safety and Security reporting processes, and creating and maintaining a proactive reporting Culture. Southwest’s policy is that no disciplinary action will be taken against any Employee for reporting a Safety or Security occurrence or issue, except in cases where behavior is ultimately deemed to be reckless. | ||
| Customer Health and Safety | ||
| 416-1 | Assessment of the health and safety impacts of product and services categories | People Data Table |
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