Airlines Cut Holiday Flights as Fuel Costs Soar

If you have not booked your holiday flights yet, expect to pay more. Major airlines are cutting flights and raising fares as oil prices climb. Oil prices passed $100 a barrel this month. Jet fuel now costs $4.53 a gallon. In August, airfares were already up more than 23% compared with a year earlier, according to the Bureau of Labor Statistics. Airline executives spoke Wednesday at Morgan Stanley's Laguna Conference. They said demand for December travel is strong, but high fuel costs are forcing changes. United Airlines CFO Mike Leskinen said the company has cut routes that are not profitable enough. "There'll be some flights in December that we won't fly that we thought we were going to fly," he said. If fuel stays high, he added, United will make more cuts into early 2027. Southwest CFO Tom Doxey and American CFO Devon May said the same: if fuel prices remain high, they will reduce flights and raise fares. Travelers will not see these changes right away. Leskinen said jet fuel costs are passed to customers "with a lag." Higher prices are not the only problem. Airlines have also raised fees for checked bags and seat selection. "The true cost of flying is higher than ever," said Sally French, a travel analyst at NerdWallet. **What This Means for Travelers** It is not yet clear which routes will be cut or how airlines will rebook affected passengers. In the past, airlines have cut flights on slow travel days, at unpopular times, and in oversaturated markets. They may also focus on business-heavy routes and long-haul international flights, where demand is strong. This is also the first holiday season without Spirit Airlines, which shut down in May. Its low fares are gone. French said booking early is the best way to save money. For domestic travel, the best time to book is one to three months ahead. For international travel, it is two to eight months ahead. She also suggested refundable tickets, which let you cancel and rebook if prices drop.