If you worked for Southwest Airlines and took short-term military leave, you may qualify for a cash payment from an $18.5 million class action settlement.
Some eligible employees do not need to file a claim at all, while others may need to submit a quick form before the deadline.
Why This Lawsuit Exists?
The lawsuit was filed against Southwest Airlines Co. and alleged the company violated the Uniformed Services Employment and Reemployment Rights Act (USERRA).
Plaintiffs claimed Southwest did not provide paid leave for employees who took short-term military leave, even though the airline paid employees for other comparable absences, including:
- Jury duty
- Bereavement leave
- Sick leave
Southwest denies any wrongdoing and argued that military leave is not comparable to those other types of leave.
Both sides agreed to resolve the dispute with an $18.5 million settlement to avoid the expense and uncertainty of continuing the litigation.
Who Qualifies?
You may be part of the settlement if:
- You are a current or former Southwest Airlines employee
- You took short-term military leave (14 days or fewer)
- The leave occurred between October 10, 2004 and January 1, 2026
- You were subject to a collective bargaining agreement during employment
Not Included
Employees covered by the collective bargaining agreement between Southwest and Transport Workers Union Local 550 (meteorologists) are excluded from the settlement.
How Much Can You Get?
The settlement creates an $18.5 million fund to compensate eligible employees.
Individual payments depend on factors such as:
The amount of short-term military leave taken
The wages the employee would have earned at Southwest
The military wages received during that leave
The settlement administrator will:
Estimate the wages the employee would have earned from Southwest during military leave.
Subtract wages received from military service.
Calculate each person’s share of the net settlement fund.
Payments will be split into:
50% wages (reported on a W-2 with tax withholdings)
50% non-wage compensation (reported on a 1099)
The final payment amount varies by individual.
Your Options
| Option | What It Means | Deadline |
|---|---|---|
| Receive Automatic Payment | If Southwest has records of your military leave, you will automatically receive a payment unless you opt out | No action required |
| Submit a Claim | Required if Southwest does not have records of your short-term military leave (especially between Oct. 10, 2004 – Dec. 31, 2012) | April 28, 2026 |
| Opt Out | Remove yourself from the settlement and keep the right to sue separately | April 28, 2026 |
| Update Address / Payment Preference | Ensure you receive payment or choose direct deposit | Recommended |
The final approval hearing is scheduled for May 14, 2026.
How to File a Claim?
If you received a claim form because Southwest does not have records of your leave, you must submit the claim form by April 28, 2026 to receive compensation.
You can:
File the claim online, or
Complete the claim form you received and mail it to the settlement administrator
You will need:
Your ILYM ID from the settlement notice
Your last name
Payment options include:
Direct deposit (if selected on the settlement website)
Mailed check (default option)
Mailing address for claim forms:
ILYM Group Inc.
P.O. Box 2031
Tustin, CA 92781
If you’ve moved, update your address to ensure your payment is delivered.
If the court approves the settlement and no appeals are filed, payments are expected to be distributed about two months after final approval.
