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    American Airlines: Time for labor deals dwindling

    Associated Press – Fri, Feb 24, 2012

    DALLAS (AP) — American Airlines is turning up the heat on its workers, saying it doesn't have much time to win cost-saving concessions from labor unions.

    American said Friday night it needs those deals in place in "a matter of weeks."

    AMR Corp.'s American, which filed for bankruptcy protection in November, wants to cut spending by $2 billion a year, including $1.25 billion in labor costs. It wants to cut 13,000 jobs, reduce pay and benefits, and get more productivity from workers who remain.

    Unions for pilots, flight attendants and ground workers have been making their own proposals to save money while criticizing the company's plan as too harsh.

    If there is no deal between labor and the company, American can ask a bankruptcy judge to impose the company's demands.

     

    10 comments

    • Ashten
      Ashten  •  Lenexa, Kansas  •  2 mths ago
      American does not have to "break " union contracts. The union has agreed to let the airline farm out all the maintenance work to foreign countries, mostly in South America, where American has hundreds of flights. Why pay US citizens to do the work, when all the other major airlines have the work done overseas already !
    • My Two Cents
      My Two Cents  •  2 mths ago
      We need to totally revamp our entire transportation system in the U.S. (planes, trains, and automobiles). It's insane that these segments can't stay out of bankruptcy, yet we are getting charged an arm and a leg.
      • Armando
        Armando 2 mths ago
        Read Df from Chatsworth.
      • Armando
        Armando 2 mths ago
        Oh, and Df is from CA.
      • Antler
        Antler 2 mths ago
        Airline family here......was sooooo much better when the airlines were regulated. Plus, when they concentrated on having MORE flights and serving the public, profits soared.
    • Infidel
      Infidel  •  Salt Lake City, Utah  •  2 mths ago
      Just another way for the Airline to break union contacts.
    • Larry D
      Larry D  •  San Antonio, Texas  •  2 mths ago
      that's it AA, blame the employee for not being profitable; how's about management getting the same union wages, and see how quick they cut labor costs
    • Van Dam
      Van Dam  •  2 mths ago
      "If there is no deal between labor and the company, American can ask a bankruptcy judge to impose the company's demands." So the company doesn't have to listen to the union at all? I believe the union should ask a bankruptcy judge to impose their demands!
    • invader
      invader  •  Elmhurst, Illinois  •  2 mths ago
      united and american airlines are socking it ti the flier ,, next they will charge for the air you breath on the plane
    • Dorian
      Dorian  •  Kaiserslautern, Germany  •  2 mths ago
      The latter of this article is more so what AA wants in the first place. They are also stretching the truth a bit as well. AA went into Chapter 11 with over 4 billion operating cash in hand. AA has the time and operating money to plan this out over time a little better. They are not in any danger of everything falling to pieces tomorrow like they are suggesting. Labor costs isn´t the only problem that you have. AA´s fleet distribution and exposure or lack there of in certain key markets is the problem as well.
    • LARRY
      LARRY  •  New York, New York  •  2 mths ago
      A total mismanaged airline...the management has done nothing since the 2003 concessions to make this airline profitable....they even took their bonuses every year....while the unoin workers got pennies for raises since 2003. And now they want to blame the front line union workers who keep this airline flying everyday...what a shame!!
    • df
      df  •  Chatsworth, California  •  2 mths ago
      better get rid of the union clowns before it's too late.
      • Christopher
        Christopher 2 mths ago
        Better get rid of the MANAGEMENT clowns before it's too late----FIXED!!!!
    • Armando
      Armando  •  Pharr, Texas  •  2 mths ago
      Unions, ah unions. Largest expenses account of any business. Stupid businesses for agreeing to deal with them. Management: shut up. Unions: Put up.
     Post a comment
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