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October 25, 2012

American to furlough 290 mechanics and store clerks, fewer than anticipated

With early-out offers accepted and new contracts in place, American Airlines said it will lay off as few as 290 mechanics and store clerks as part of its restructuring plan.

American sent out reduction-in-force notices to affected workers on Thursday.

The furloughs are much lower than the carrier had initially anticipated when it first announced its restructuring plan in February when it said 4,600 positions would need to be eliminated.

Across its entire network, American said 222 mechanics, 33 store clerks and 35 facility mechanics will lose their jobs.

"The good news at the end of the day – is we have 964 [mechanics] members targeted for RIF and 742 vacancies, if all the members affected chose to bump into AMT vacancies or lower classification vacancies we will end up with 222 Title I members that would have to go to the street or back to their former classification," TWU International representative Don Videtich told union members in a letter earlier this week.

At its Alliance maintenance facility in Fort Worth, which is expected to close in the next few months, 814 workers received RIF notices. However, many of those employees will be able to relocate to other maintenance facilities within American that have vacant positions.

Last month, the carrier said over 1,500 mechanics and store clerks applied for the early-out program that offered at least $12,500 in severance to those volunteering to leave American.

Here is the full statement from American spokesman Bruce Hicks:

"As we have previously said, we have been able to significantly reduce the number of furloughs for our TWU-represented Mechanics and Material Logistics Specialists. Through contractual changes negotiated with the TWU and the voluntary separation packages, along with the number of vacant positions available throughout the system, we now expect as few as 290 furloughs – more than 90 percent less than the 4,600 positions we anticipated when we started the restructuring process and more than 85 percent less than the 1,972 Mechanics and Material Logistics Specialists that were sent reduction letters.

"Despite the significantly reduced numbers of furloughs, involuntary separations are an unfortunate but necessary part of the restructuring process. We are providing career counseling and other resources to affected employees to help during this transition."

-Andrea Ahles


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JacksonWhite Bankruptcy

Sounds like they have some fairly decent options for getting out. Anytime numbers are down from what is expected it's a good day.


Are the pilots watching? Good things can happen when both parties work together on issues of mutual self interest.

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