THE WRIGHT AMENDMENT: ITS HISTORY, SIGNIFICANCE, AND EFFECT ON SOUTHWEST AIRLINES OVER TIME
The Wright Amendment was a special interest addition to a major bill dealing with the airline industry that was enacted in the late-1970s. The provisions of the Amendment were quite narrow in their application, and thus affected some airline companies more than other (Weisman 2471). Perhaps the airline that the Amendment has most affected over the last 23 and one-half years since its implementation is Southwest Airlines (Schnurman C1). This paper (a) reviews the history and significance of the Wright Amendment and (b) assesses the effects of the Amendment on the airline industry with a special focus on the effects of the Amendment on Southwest Airlines.
History and Significance of the Wright Amendment
The Wright Amendment was an added provision [Section 29] to the International Air Transportation Act of 1978 (Public Law 96-192:S.1300 Sec. 29). The AmendmentÆs name derived from its chief sponsor, United States Congressman from Texas Jim Wright. Wright was not just one more member of the House of Representatives. Rather, he was, at the time of the enactment of the law the Democratic Majority Leader in a chamber controlled by the Democrats. Nine years later, Jim Wright was elected Speaker of the House of Representatives (Seligman 167).
The Wright Amendment addressed specifically and only air transportation by common carrier between Love Field in Dallas and any location outside of the border of the State of Texas. Specifically, the language of the Amendment stated that no air transportation of passengers for hire between Love Field and any point outside of Texas was permissible except when the following conditions prevailed (Public Law 96-192:S.1300 Sec. 29):
charter transportation services not to exceed 10 flights per month are involved;
commuter airlines using aircraft with 56 seats or less are involved; or
common car...