Dutifully playing follow-the-leader, and jumping into the proverbial meat-grinder, airlines are competing to make a bad scene worse. They’re piling on: adding fees, reducing benefits, and devaluing frequent flyer miles even more. And that’s just today. Yeah, it was a bad day.

Round one: Luggage fees
Barely wasting any time after American Airlines imposed a $15 fee for the first checked bag, United has followed suit. The new fee goes into effect “if you are traveling on or after August 18, 2008 on an Economy ticket or Economy award ticket purchased on or after June 13, 2008.” Yes, there are exceptions for elite frequent flyers (notably for all Star Alliance elites, and not just United elites) and premium-cabin passengers. Full details here.

Oh, and US Airways matched the $15 fee today, too. Who’s next?

Round two: Free stuff isn’t free anymore fee
American introduced a $5 fee for booking a free ticket online. Purely spiteful, as Gary Leff argued when this first arose. Online distribution was intended to lower costs, but now it’s just a profit center.

But American’s $5 fee seems downright generous compared to US Airways’ announcement today. There’s a double-whammy of “award ticketing fees” and “award processing fees.” The ticketing fees consist of $30 surcharge for U.S/Canada tickets, and $40 for international itineraries. But then there’s the “processing fee”: $25 continental U.S./Alaska/Canada, $35 Latin America/Caribbean, $50 Hawaii/international.

Extortionary.

Round three: Free trips will cost more miles
American jacked up the number of miles necessary for many free tickets and upgrades, thereby making it harder to reach your award goals. No surprise, alas, given the oversupply of miles chasing a shortage of flights in an age of increasing airfares. But still annoying.

So far, no other followers… yet. Give it a day or two, and it won’t be a surprise if others devalue your miles the same way.

Round four: We will kick elites like dogs, and you’ll like it
US Airways will piss off thousands of its elite frequent flyers with its new “enhancement” to the Dividend Miles program: “US Airways is also eliminating its bonus miles program for Preferred status Dividend Miles members. Preferred members currently receive mileage bonuses based on their status level. The Preferred bonus program will be discontinued for tickets purchased on/after Aug. 6, 2008.” Ouch. So, elites who previously accumulated miles more quickly can now kiss that benefit goodbye. How many elites will be kissing US Airways goodbye? (Hat tip to Benet Wilson for pointing this nugget out to me first!)

Rounds five through infinity: Everything else.
Beyond that, the fees just keep on coming. US Airways is adding fees for all soft drinks, including water. Excuse me, that’s “a new in-flight beverage purchase program.” Ooh, a program! Groan. They’re raising the price of booze, too, to a whopping $7. United is increasing various ticketing fees, across the board, too many to name. And US Airways is shutting clubs and arrival lounges. Satire just doesn’t cut it anymore.

Is there a silver lining in here anywhere? I can’t seem to find it.

Related:
- Copycat: US Airways mimics United, starts charging for second checked bag
- Death by a thousand cuts: US Airways edition