ATC Shortages, Airline Pivots and the Top Air Travel News From March 2025

Following a harrowing February, March proved to be a monumental month for the airline industry as a slew of carriers made major announcements.

The aviation sector continues to experience rapid and significant change heading into the peak summer travel period.

Here are the latest headlines you need to know.

American Airlines Tests Free Wi-Fi, United Adds Starlink

March saw some big news involving in-flight Wi-Fi.

American Airlines announced it would begin testing free in-flight Wi-Fi on three popular routes while United Airlines installed SpaceX's Starlink satellite internet service on its first regional aircraft, with plans to install the service onto over 40 aircraft each month, beginning in May through the end of 2025.

DHS Ends Collective Bargaining for TSA Workers

The Department of Homeland Security (DHS) terminated the collective bargaining agreement with the union representing thousands of Transportation Security Administration (TSA) employees in early March in a move impacting approximately 47,000 TSA officers.

Unsurprisingly, the move was condemned by the Association of Flight Attendants and Democratic lawmakers, with the former calling it "terrible for aviation security and everyone who depends on safe travel. This will take us back to the days of security at the lowest price with the highest costs for our country."

Aging Air Traffic Control 'Unsustainable'

March testimony provided by the United States Government Accountability Office (GAO) during a hearing of the House Subcommittee on Transportation and Infrastructure revealed some troubling figures. Most notably, more than one-third of the air traffic control systems across the U.S. are considered to be in an "unsustainable" state.

"Of the 105 unsustainable or potentially unsustainable systems, 73 were deployed over 20 years ago, with 40 being deployed over 30 years ago, and six of those deployed over 60 years ago," GAO managing director Heather Krause said.

Southwest Eliminates Free Bags and Frontier Takes Advantage

The biggest airline story of March was Southwest Airlines revealing plans to do away with its beloved and decades-old free checked baggage policy. The change will take effect on May 28, 2025. To capitalize on the disappointing news, Frontier Airlines unveiled a limited-time promotion offering travelers complimentary carry-on baggage.

Major Airlines Reduce Profit Forecasts

March also saw a handful of major U.S. airlines reduce their first-quarter financial forecasts.

American, Delta, Southwest and United were among the carriers reporting declining profit forecasts amid the transition to a slew of troubling safety incidents, the transition to a new White House administration and ongoing economic concerns related to inflation, among other factors.

Spirit Airlines Emerges From Bankruptcy With New Focus

Spirit Airlines made a huge announcement in mid-March, emerging from its financial restructuring following Chapter 11 bankruptcy and revealing a new approach with a focus on premium travel experiences.

"Throughout this process, we've continued to make meaningful progress enhancing our product offerings, while also focusing on returning to profitability and positioning our airline for long-term success. Today, we're moving forward with our strategy to redefine low-fare travel with our new, high-value travel options," President and CEO Ted Christie said in a statement.

The iconic no-frills carrier is now seeking to attract more middle- and high-income travelers to generate as much as 13 percent more revenue per passenger.

Air France Unveils New Level of Luxury

Air France unveiled details and a first look at its new La Première experience, which the carrier calls "a major step in our strategic roadmap."

The epic suite includes a chaise lounge that extends seamlessly into a fully flat bed, spans as many as five window spaces and features a slew of high-tech perks, including a pair of 4K screens.

IATA Urges Digitization of Aviation Security

During March's Sydney Leaders Week Conference, the International Air Transport Association (IATA) encouraged key governmental and industry stakeholders to adopt digital identity technologies to streamline aviation security moving forward.

The group is pushing for digitizing document verification to improve efficiency in the travel space, ensure more secure border crossings and reduce fraud risk.

Delta Sets Sights on Aircraft of the Future

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