Thursday, April 19, 2012

American Airlines to slash 1,200 cargo and baggage jobs

American Airlines, under a bankruptcy restructuring agreement aimed to cut labor spending by $1.25 billion, will eliminate 1,200 airport and baggage jobs at seven U.S. and two Canadian airports and will close an Arizona reservations center.

American told union workers it would cut 13,000 of their jobs, freeze pensions and implement benefit changes. The changes are scheduled to go into effect within two to four months.

American will start presenting testimony on April 23 to convince a bankruptcy judge to allow the company to cancel existing union contracts and create new rules to facilitate spending cuts.

The airline’s jobs will be outsourced at facilities in cities with the fewest flights, including Ontario and Sacramento in California, and in Portland, Hartford, Columbus, Memphis, and Reno. American Airlines’ jobs in Calgary and Vancouver in Canada will also be outsourced.

- Los Angeles Times

Read the complete story: latimes.com

 

 

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