Latest announced closures/cuts

[jimntx]

Further info: Got this from same union rep, but don't know her source. Sorry about all the dashes, but I got the info in table form, and that will not cut and paste to here. Only way I could keep the columns aligned.


"Here's our latest tabulation on job cuts announced by American Airlines, with the understanding that these likely will change, In addition, any job reductions at American Eagle are not included:


Group----------------------------------------------------Employees-------------------------------------------- Job cuts
Allied Pilots Association------------------------------ Pilots-------------------------------------------------------- 400
Association of Professional Flight Attendants---- Flight attendants---------------------------------------- 2,300
Transport Workers Union--------------------------- Dispatch------------------------------------------------------ 16
Transport Workers Union--------------------------- Fleet service clerks-------------------------------------- 4,200
Transport Workers Union--------------------------- Mechanics and related---------------------------------- 4,300
Transport Workers Union--------------------------- Maintenance control technicians-------------------------- 16
Transport Workers Union--------------------------- Stores-------------------------------------------------------- 275
Total Union Employees---------------------------------------------------------------------------------- 11,507

Non-union Agents, reps and planners-------------------------------------------------------------------------- 1,200
Non-union Management and support--------------------------------------------------------------------------- 1,400
Total, non union All employees---------------------------------------------------------------------------------- 2,600

Total, all employees 14,107

 

[jimntx]

AA outsourced agents in FLL in the mid 90s and it was a disaster to say the least. Cant wait to see how this goes. Mark my words it wont work.

As a flight attendant who flies into a number of stations outsourced already, I could not agree more. These agents are worked to death for barely minimum wage. They tried making all of them AE employees with the first pay cuts, but that wasn't severe enough.

The one thing you want to be sure and do in a customer service industry is make sure that ALL (or as many as possible) of your front-line, direct customer contact people are as PO'd as you can make them. Bonusses all around at Centerport.

 

[wings396]

AA outsourced agents in FLL in the mid 90s and it was a disaster to say the least. Cant wait to see how this goes. Mark my words it wont work.

Sad to say, but the company could care less about the level of service if it means saving a buck. Since my former station was outsourced, they have gone thru 2 vendors, with one being worse that the previous. It all comes down to the lowest bid. This past winter (a mild one), the goons had a difficult time deicing the a/c, taking twice as long as it should have.

 

[Hopeful]

If this comes to attrition I will be awful devastating and extreme
I would like to see the non-union supporters of the AA boards come to the company’s defense on these company terms
And management will be able to bump into the agents ranks with all seniority intact

I don't understand why everyone is in disbelief about what is occurring at what will occur. What did you expect from bankruptcy?
The company made it clear that all work groups will achieve the same 20% cost reduction. Each department determined their respective 20% cost gutting goals.
And whatever we think or how disastrous these changes will be, please keep in mind that all other airlines that went through this process with many, many jobs lost, and all those employees who survived are continuing to work and collect a paycheck, regardless of how difficult things are or how unhappy they may be. More importantly, those airlines are surviving and in most cases profitable. It is what it is.

Welcome to Chapter 11, Ladies and Gentlemen!

 

[eolesen]

FLL was re-insourced because flights went up after Jetblue revitalized the airport. Before B6, there were only 5 or 6 flights a day.


Believe it or not, when I was publishing the customer complaint/quality service index data years ago, the outsourced stations were consistently scoring higher than the insourced. And that's back in 1997-2001 when AA was still making money, so you can't say it's because of pay cuts, etc.

There were a few exceptions, and when a ground handling vendor was showing repeated poor performance (be it discrepancies, delays, or complaints), they'd have a Cure letter in their hands (giving them 30 days to fix the problems or have the contract terminated). I forget who it was at either BHM or HSV that lost the contract within the first year. Oddly, AA was always better at firing contractors than they were bad managers or employees at the insourced stations....

 

[jimntx]

I have asked moderators to combine this thread with one started yesterday that has the same info. The thread started yesterday is entitled, Latest announced closures/cuts, and it has a link to the Dallas Morning News article that is the original source of the info. Sorry.

 

[john john]

I don't understand why everyone is in disbelief about what is occurring at what will occur. What did you expect from bankruptcy?


Welcome to Chapter 11, Ladies and Gentlemen!

Believe me I am not surprise can these terms be negotiated like the union folks

 

[737823]

Believe me I am not surprise can these terms be negotiated like the union folks

Union protection at work! 11,000 union jobs cut but only 2,500 non-union jobs cut...

Josh

 

[amtide]

Why are STL, AUS, and BNA staying? Are they well performing for AA? I know US and DL have some odd lounge locations in places like JAX, BDL, BUF, GSO, etc.

Josh

What makes SJU special? Agents, FSC, A/C Maint & Admiral club with only 16 flights. What is that, that we do not see?

 

[WorldTraveler]

And whatever we think or how disastrous these changes will be, please keep in mind that all other airlines that went through this process with many, many jobs lost, and all those employees who survived are continuing to work and collect a paycheck, regardless of how difficult things are or how unhappy they may be. More importantly, those airlines are surviving and in most cases profitable. It is what it is.

Welcome to Chapter 11, Ladies and Gentlemen!

precisely... and AA noted that its labor costs diminished the least among all of the 4 network carriers that successfully restructured in BK during the past decade... AA's labor CASM decreased 11.7%, DL 18.5 (including NW), UA 20.3 including CO, US 24.5%. It isn't clear exactly how much AA's labor CASM will further decline but it does say that they will likely be at or greater than the average of the industry network carrier average which was 21.1%.... (addition of percentages in two separate actions does not necessarily result in the total being equal to the two cuts - ie 11.7% so far plus 20% more in cuts will probably not result in total cuts equal to ~ 32%).
.
Combined w/ what AA is doing w/ respect to revenue, it does say that AA has a very real chance of successfully restructuring... for those who can hang on and adapt to the new realities, the chances of AA making it are good.

 

[eolesen]

Union protection at work! 11,000 union jobs cut but only 2,500 non-union jobs cut...

Yeah, well you might want to consider that AA already had the power to cut non-union jobs at will...

Some of these are also in direct response to changes in the TWU Fleet Service term sheet -- no sense outsourcing agents if you have fleet service in a station.

A few others will likely be tied to lease rejections. Not sure if the TUS res office is owned or leased, but the airport space for those targeted can now be rejected. Likewise with the cargo facilities.

 

[FWAAA]

Union protection at work! 11,000 union jobs cut but only 2,500 non-union jobs cut...

Most AA employees are unionized; the only groups that are not are the agents and support staff (and, of course, management). Accordingly, job reductions among the unionized workforce will obviously outnumber the job cuts among the nonunion folks. A more relevant comparison would be the percentages of job cuts.

And, of course, most of the proposed job cuts at AA are in the two groups where AA lags the industry in outsourcing - fleet service (ground/ramp) and maintenance. There's nothing any union can do to prevent AA from outsourcing the same jobs as the competitors have outsourced.

 

[Frank Szabo]

Most AA employees are unionized; the only groups that are not are the agents and support staff (and, of course, management). Accordingly, job reductions among the unionized workforce will obviously outnumber the job cuts among the nonunion folks. A more relevant comparison would be the percentages of job cuts.

And, of course, most of the proposed job cuts at AA are in the two groups where AA lags the industry in outsourcing - fleet service (ground/ramp) and maintenance. There's nothing any union can do to prevent AA from outsourcing the same jobs as the competitors have outsourced.

deleted

 

[Frank Szabo]

AA outsourced agents in FLL in the mid 90s and it was a disaster to say the least. Cant wait to see how this goes. Mark my words it wont work.

Every 10 - 20 years, some bright college-educated idiots decide the wheel needs to be reinvented only to come to the same conclusion as did the last group of brilliant individuals. The repetition would be comical to watch if the stupidity didn't affect so many people.