American Airlines may cut 13,000 jobs

Top Stories

»	Sensex, Nifty open 1 pc lower amid West Asia tensions, weak global cues
»	India clocks robust 7.7 pc GDP growth in 2025-26, Q4 growth at 7.8 pc
»	RBI keeps repo rate unchanged at 5.25 pc, maintains ‘Neutral’ stance
»	Crude oil prices fall over 1 pc as ceasefire hopes ease West Asia concerns
»	Forced labour import curbs: US proposes up to 12.5 pc tariff on 60 countries, including India

IANS | 02 Feb, 2012
US carrier American Airlines said Wednesday that it wants to eliminate 13,000 jobs as it seeks to cut labour costs by 20 percent.

The announcement was made after the Texas-based company had a meeting with representatives of its three biggest unions, according to The New York Times.

American Airlines said the move would reduce its overall costs by $2 billion a year, reported Xinhua.

The planned job cuts would amount to 16 percent of the company's work force of more than 80,000. Of the total job cuts, 4,600 would be mechanics jobs, 4,200 ground service positions, 2,300 flight attendants and 400 pilots. Another 1,400 jobs would be cut in management and support services, according to NYT.

American Airline parent AMR is the latest of several large US airlines to go through bankruptcy in an effort to reduce costs and debt.

In a letter to employees, American Airlines CEO Thomas W. Horton said the company had lost its competitive edge over the years.

"The world has changed around us and this is our moment to adapt or lose the opportunity forever," he said. "Our industry is now defined by the changes our competitors made in restructuring to secure their futures, and the landscape is littered with those airlines that failed to change."