EMOTIONAL BAGGAGE

WestJet Hikes Checked Bag Fees Again - Will Air Canada Follow?

WestJet

WestJet has quietly increased its first checked bag fee by CAD$5 for ultra-basic and economy fares for tickets purchased on or after 16SEP, 2025. It's the third time WestJet has changed its baggage policy in the last two years.

The move has sparked speculation Air Canada will once again match WestJet’s increase as it had in March 2024.

At a glance:

  • The new baggage fees apply to tickets purchased on or after 16SEP, 2025; pre-paid first checked bags for economy fares now start at $40, while paying at the airport will cost at least $60
  • UltraBasic fare passengers face a minimum $50 pre-paid checked bag fee for most routes
  • Baggage fees can be avoided for clients holding WestJet Rewards status, travelling on flexible fares, or using specific credit cards like the WestJet RBC World Elite Mastercard.

WestJet says the fee increase is in order “to align with industry pricing and revenue trends.”

The CBC reached out to Air Canada to see if they had any price hikes in the works as its first checked bag fee is currently $35. The airline’s spokesperson Peter Fitzpatrick said it will “monitor the industry closely to remain competitive in every market we serve.” So, nothing definitive on that front yet.

History repeating itself?

In February 2024, following increases by US carriers, WestJet increased the fee for checked bags by $5. In March of that year Air Canada followed suit by also upping the charge for first checked bag in economy by $5. At the time, Canada's Transport Minister Anita Anand said she wasn't happy with the fee increases and wanted to meet with Canadian airline CEOs.

According to Prince of Travel’s T.J. Dunn, the increased fee may signal a shift as WestJet aligns itself with the ULCC business model rather than compete head-to-head with AC and PD:  “In fact, I’d argue that WestJet is adjusting its approach to economy travel to be more aligned with ultra-low-cost carrier Flair Airlines (which also features seats that don’t recline), and less with the likes of Air Canada and Porter Airlines (both of which offer passengers complimentary beer, wine, and snacks, as well as seats that recline).”
However, Robert Kokonis, president of Toronto-based AirTrav Inc., says a push towards increasing customer loyalty could be the motivation. "This is all about alignment with WestJet’s recent changes to its WestJet Rewards loyalty program," he says. "The carrier also likely feels the market has capacity to absorb such a fee. I predict that Air Canada will follow suit."

WestJet told CBC that it is transparent about all fees and “clear at each stage” about how much optional extra services will cost. As well as this, Transport Canada says it is “actively engaging with carriers to ensure maximum transparency of fees.”

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