Cramer predicts congressional action on overbooked flights after the United fiasco and national outrage

  • United Airlines' bumping of a passenger from a flight will likely bring congressional action, according to Jim Cramer.
  • "This is the type of thing that Congress can look good on," Cramer said.

There will likely be congressional action on overbooking flights after a man was dragged by his hands from a United Airlines flight, CNBC's Jim Cramer said Tuesday.

United Continental shares slipped Tuesday, a day after a video surfaced of a passenger being forcibly removed from an overbooked United Express flight operated by Republic Airways, sparking outrage on social media and some calling for a boycott.

In a statement Monday, United CEO Oscar Munoz did not specifically express regret for the way the passenger in the video was handled, saying instead, "I apologize for having to re-accommodate these customers."

"This is the type of thing that Congress can look good on," Cramer said on "Squawk on the Street." "Who is going to come out and say, 'I really favor people who are being dragged down.'"

According to the Department of Transportation's website, overbooking flights is not illegal and most airlines overbook in order to compensate for "no-shows."

Watch: Video shows man being forcibly removed from United Airlines flight