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The Honolulu Advertiser
Posted on: Saturday, July 19, 2008

American Airlines will cut 1,500 maintenance employees

By David Koenig
Associated Press

DALLAS — American Airlines will cut 1,500 jobs in its maintenance division as it reduces its fleet of aircraft.

The nation's largest airline told employees of the cuts in memos this week.

American did not break down the cuts by location. Airline spokeswoman Tami McLallen said yesterday that those decisions had not yet been made.

The airline has maintenance hubs in Kansas City, Mo., Tulsa, Okla., and Fort Worth, Texas, plus smaller bases around the country. Besides maintaining American's jets, employees at the hubs also work on jets brought in by other carriers.

American has about 14,000 employees in its maintenance division, including management and support staff, and 13,000 of them are represented by the Transport Workers Union, McLallen said.

The cuts involve 1,300 mechanics and 200 management and support staff, she said.

The Fort Worth-based airline, part of AMR Corp., announced two weeks ago it will shed 8 percent of its workforce — about 6,800 jobs — to cope with fuel costs and a weakening economy.

The company has publicly identified only a portion of those cuts. It has said it will eliminate 900 flight attendant jobs and 200 pilot positions.

Chief financial officer Tom Horton hinted at the latest cuts when he said this week that American's maintenance organization was built for a much bigger airline than the one that will emerge after announced reductions in capacity. American plans to cut its U.S. flying by up to 12 percent after the busy summer travel season ends.

On Wednesday, American announced it will speed up the retirement of its 34 Airbus A300 aircraft to the end of next year instead of 2012. American and its feeder carrier, American Eagle, will ground 103 planes this year.