Southwest Airlines faced multiple military lawsuits, culminating in a major $18.5 million settlement in late 2025 for a class action alleging violations of the Uniformed Services and Reemployment Rights Act (USERRA) by denying paid short-term military leave, even though other leaves (like jury duty) were paid.
This deal, which also mandates up to 10 days of paid military leave annually (2026-2030), followed an earlier $18.8 million settlement in 2018 for pilots with similar claims, establishing new standards for employer-provided military leave.
Key Lawsuits & Settlements
- 2018 Pilot Settlement ($18.8M): An initial class action focused on pilots, resulting in an $18.8 million settlement for failing to credit benefits during short military leaves, as reported in.
- 2025 Class Action ($18.5M): A broader lawsuit expanded the scope to include all employees, alleging Southwest didn’t treat military leave as favorably as other paid absences (sick, bereavement).
- The Settlement Details:
- Compensation: $18.5 million to be shared by nearly 2,800 current/former employees.
- New Policy: Up to 10 days of paid short-term military leave per year, implemented from 2026 to 2030.
- Legal Basis: Alleged violations of USERRA, which requires equal treatment for military leave.
Significance
- This case is noted as the largest USERRA class action settlement to date, setting a precedent for paid military leave.
- It signals a major shift, encouraging other employers to provide paid leave for short military duties, easing financial burdens for National Guard and Reserve members, notes The National Law Review and Military Times.
Southwest’s Stance
- Southwest denies wrongdoing, settling to avoid litigation costs but establishing the new leave policy as a benefit for employees, say The Carlson Law Firm.
