American Airlines to cut off 1500 jobs

July 25th, 2008 - 1:44 pm ICT by Amrit Rashmisrisethi  

American Airlines logo

American Airlines will cut 1,500 jobs in its maintenance division as part of the 6,800 job cuts it , the airlines announced two weeks ago. 1,300 maintenance workers and 200 management including the support - staff position.

Tami McLallen, a spokeswoman for Fort Worth, Texas-based American, said a timeline for the reductions has yet to be confirmed, and it’s still unclear what positions or locations will feel the impact of the layoffs.

American Airlines has 14,000 employees in the maintenance system and 13,000 of them are represented by the Transport Workers Union. In Kansas City, the airline has more than 1,000 workers, including 885 mechanics.

Gordon Clark, president of Transport Workers Union Local 530 in Kansas City, said the company had not provided additional information about where the jobs would be eliminated. The airline, however, is in the midst of offering an early-retirement buyout program that could reduce the effect of an involuntary layoff, he said.

“With our senior work force here in Kansas City, it’s possible we could minimize the number of forced layoffs if enough people take the retirement,” said Clark.

In the year 2004/2005, Kansas City the base has lost 800 jobs and the American Airline made cuts because of the financial condition. Now, as the fuel price raised, two weeks ago the airline announced the shed 8 percent of its work force — the 6,800 jobs — to cope with financial distress brought on by record fuel costs and a weakening economy. The company earlier said those cuts would include 900 flight attendant jobs and 200 pilot positions.

American plans to cut the U.S. flying by 12 percent at the end of the summer. American also declared, the retirement of the 34 Airbus A300 aircraft by the end of next year instead of waiting for 2012.

Tags: , , ,

Posted in Business, World, World News |