American Airlines Joins Delta, United, British Airways, Emirates and Other Giants to Crush Loyalty Rewards for Basic Economy Passengers: What This Shocking Move Means for Your Travel Perks and Status!

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In a bold move that has sent shockwaves through the travel world, American Airlines has officially joined forces with Delta, United, British Airways, Emirates, and other leading global airlines, slashing loyalty rewards for passengers booking Basic Economy fares. This dramatic shift marks a major turning point in the way airlines are rewarding their most loyal customers, leaving travellers to wonder: Will this spell the end of earning status for the budget-conscious? With Basic Economy now stripped of valuable miles and status points, travellers who have long relied on discounted fares to build their loyalty status are in for a rude awakening.

But what does this mean for you — the frequent flyer? What will happen to your miles, upgrades, and hard-earned status? And, most importantly, how will this massive change reshape the travel experience in 2025?

Brace yourself for the shocking reality behind this game-changing decision, and learn how these airline giants are redefining loyalty rewards and forcing customers to pay more if they want to earn perks. Let’s dive into the world of loyalty programmes and examine what some of the largest airlines in the world are doing with their policies. Whether you’re a frequent flyer or someone who just wants to save a little on your next trip, these shifts might affect you.

American Airlines: No More Miles on Basic Economy Fares

American Airlines, one of the major U.S. carriers, made a bold move recently by eliminating the ability to earn AAdvantage miles or Loyalty Points on Basic Economy fares purchased on or after 17 December 2025. This shift marks a significant departure from how American Airlines has operated in the past.

Why is this happening? American Airlines explained that it routinely evaluates its fare products to ensure they are aligned with customer needs. With the introduction of these new restrictions, Basic Economy tickets will no longer allow you to earn status or mileage credits. This means that, unless you purchase a higher fare class like Main Cabin or above, you won’t accumulate miles towards your AAdvantage membership status.

What Does This Mean for You?

For AAdvantage members, this change could affect how quickly you accumulate miles and work toward your elite status. Previously, even Basic Economy tickets earned miles, but at a reduced rate. Now, with the new rule, those flying on Basic Economy will have no miles or status credits counted at all, regardless of their membership tier.

This is a crucial change for those who might book a Basic Economy fare thinking they’re still earning towards status. Now, business travellers or frequent leisure flyers who book Basic Economy may realise that their travel won’t help them climb the loyalty ladder. But American’s decision comes at a time when airlines are pushing customers to book higher-value fares for better perks, such as more flexibility, upgrades, and, of course, status points.

Delta Air Lines Follows the Trend

American Airlines is not the only one making changes to its loyalty programme. Delta Air Lines has been ahead of the curve in terms of Basic Economy restrictions. Delta’s Main Basic fare (formerly Basic Economy) does not offer any miles or Medallion Qualification Miles (MQMs). These are the points that determine Medallion status, Delta’s elite membership level.

This means that customers flying on Delta’s Basic Economy fare will not see any Medallion credits, no matter how much they pay for their flight. This move might seem like a way for the airline to encourage passengers to book more expensive tickets, which are often less restrictive and come with more amenities, like seat selection and additional baggage allowance.

Why Is Delta Doing This?

Delta’s decision to limit earning for Basic Economy reflects a broader trend in the airline industry: less value for lower-cost fares. The logic is simple: Basic Economy is designed for passengers who are willing to sacrifice flexibility and benefits for a cheaper ticket. Therefore, why should these passengers get the same rewards as those who book higher fares?

For business travellers or frequent flyers aiming to maintain or improve their Medallion status, this new restriction means they must book a higher fare category if they want to earn points toward their status. Delta’s move is also aimed at enhancing revenue from premium passengers, who are more likely to book higher classes of service.

United Airlines: A Different Approach

Not all airlines are following the same pattern. United Airlines has decided to keep its Basic Economy fare class open for miles and Premier Qualifying Points (PQP). This means that even though Basic Economy passengers on United don’t get many of the perks associated with premium fares, they can still earn miles toward their MileagePlus account.

However, there are some important caveats. United’s Basic Economy comes with additional restrictions, such as limited baggage allowance and a lack of seat selection until after booking. These changes highlight a key trend across the airline industry: the lower the fare, the fewer the perks. United’s decision to continue awarding miles but limit other benefits ensures that passengers on Basic Economy still have an incentive to book, though they’ll have to work harder to earn more significant rewards.

Global Trends: Europe and the Middle East Follow Suit

While the major American carriers are the most prominent players in this shift, European and Middle Eastern airlines are also making similar moves. For example, British Airways recently revamped its loyalty programme, Executive Club, which has also resulted in fewer miles earned for the lowest fare classes. The airline now bases its loyalty programme more on the amount spent rather than just the distance flown or the class of service.

Similarly, Air France-KLM’s Flying Blue programme is shifting to reward passengers based on how much they spend rather than what class of service they choose. While these airlines have not eliminated mileage accrual for Basic Economy, they have significantly reduced the earn rate for these lowest fares.

In the Middle East, airlines like Emirates and Qatar Airways offer miles for all fare classes, but passengers on lower-cost tickets may still find that their mileage earning rate is lower than those who book premium tickets.

What Does This Mean for Business Travellers?

The changes to loyalty programmes might seem small at first, but for business travellers, they can have a significant impact. For example, many small and midsize enterprises (SMEs) use Basic Economy fares to save costs on travel. These companies will now face a dilemma: should they pay more for Business or Main Cabin fares to help their employees earn status points and benefit from loyalty perks, or should they continue to book Basic Economy fares, which now don’t help employees build any status?

In the past, Basic Economy tickets allowed companies to get the lowest fare possible while still accumulating loyalty points. Now, these companies will need to re-evaluate their travel strategies to ensure employees can still benefit from loyalty rewards. Business travellers who have been booking Basic Economy tickets for the points might now look elsewhere for better deals that also allow them to build their status.

What Can Passengers Do Now?

If you’re a frequent flyer or business traveller, the first thing you need to do is review your airline loyalty programme. Understanding how your points and miles are earned based on the fare class you book will allow you to make smarter travel decisions. Here are some steps you can take:

1. Book Higher Fare Classes: If earning miles or status is important to you, consider booking Main Cabin or above. These fare classes offer better earning potential for miles and loyalty points.
2. Check Loyalty Rules Before You Book: Airlines can change their loyalty policies without much notice, so it’s important to always check the terms and conditions before booking your next flight.
3. Use Airline Credit Cards: Some airlines offer co-branded credit cards that allow you to earn miles towards your loyalty programme even if you book lower-cost fares. Consider using these cards to accumulate points outside of your flights.

What’s Next for Airline Loyalty Programmes?

As airlines continue to shift their loyalty programmes and adjust their fare structures, passengers will likely see more restrictions on low-cost fares. The trend seems to be moving toward rewarding those who spend more and book higher fare classes. However, this does not mean all loyalty benefits are disappearing. Many airlines, including United, continue to offer some mileage earning opportunities on Basic Economy, though these opportunities come with significant limitations.

The bottom line is that frequent travellers will need to adapt to a new landscape where loyalty is more closely tied to fare class and spending levels. Loyalty points, miles, and status credits are now more valuable than ever, so passengers will need to make smart choices to maximise their rewards and keep their frequent flyer status.

In conclusion, airlines are making it clear: if you want the perks, you’ll need to pay for them. The trend towards limiting loyalty points on Basic Economy fares is a reflection of broader market forces where airlines are focusing on rewarding higher spenders. Whether it’s American Airlines, Delta, or United, or even international players like British Airways and Emirates, all major carriers are sending the same message — Basic Economy passengers no longer get the same perks they once did. Keep this in mind the next time you book your flight.

Source: Business Travel News

Image Credit: AMerican Airlines