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American Airlines Workers Picket Company's Plans To Outsource Jobs, Cut Benefits

By DAVID KOENIG   02/14/12 07:13 PM ET  AP

American Airlines

FORT WORTH, Texas -- Flight attendants and ground workers marched in picket lines Tuesday to protest American Airlines' plans to outsource jobs and cut pay and benefits under a bankruptcy reorganization.

Several of the protesters acknowledged having little hope of changing the company's course. Some said that they expect to be laid off soon.

There appeared to be 200 to 250 protesters at Dallas-Fort Worth International Airport. A few passengers disembarked from cars and rolled their bags into the international terminal while avoiding contact with the pickets.

The event was a reminder of the long and bitter divide between labor and management at American, the nation's third-largest airline. There may also be differences – at least in style – among the workers themselves. The pilots' union skipped the protest, preferring to take a less confrontational approach.

American and its parent, AMR Corp., filed for bankruptcy protection on Nov. 29 after running up billions of dollars in losses over the past decade. Two weeks ago, AMR laid out a plan to cut 13,000 jobs, kill its pension plans, reduce benefits and make other changes such as longer hours for some of its 88,000 employees.

Under bankruptcy law, the company can try to negotiate new labor contracts with unions. If that fails, it can ask the bankruptcy judge to impose the company's plan.

"I don't think this is going to do anything to change management's opinion as far as our (contract negotiations), but it's something we can do to show support for each other," said Angelica Abrams, a Dallas-based flight attendant with 30 years at American.

Laura Glading, president of the Association of Professional Flight Attendants, also predicted that the company is determined to walk away from previous labor contracts. "We're here today to show we're not going to back down without a fight," she said.

American said the event didn't disrupt passengers at DFW, one of its five major U.S. hub airports.

Company spokesman Bruce Hicks said that restructuring American "is a difficult but necessary process." He said every employee group, including management, would be affected.

"Our goal is to exit as a growing, profitable company that preserves tens of thousands of jobs," Hicks said.

On the picket lines, there was much anger – and a few rhymed chants – aimed at new CEO Thomas Horton and other senior executives, who in past years received stock-based bonuses while front-line employees lived under terms of pay cuts approved in 2003, when the company barely avoided bankruptcy.

"They want to outsource our jobs overseas," said Tulsa, Okla.-based maintenance worker Greg Greene. "They need to outsource their jobs. You could bring in bright young people who can manage this company for a lot less."

While maintenance workers, who are represented by the Transport Workers Union, and flight attendants took part in the protest, the Allied Pilots Association did not. The unions denied any rift.

"We didn't see any merit in it at this point," pilots' union spokesman Tom Hoban said of the marching. "We're engaged in good-faith bargaining, and we hope management will reciprocate."

Hoban noted that the pilots' union had taken a confrontational approach before – once buying billboards to criticize the company – and it didn't result in a new contract then.

"We're going to take the high road and see if it pays off," he said.

___

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FORT WORTH, Texas -- Flight attendants and ground workers marched in picket lines Tuesday to protest American Airlines' plans to outsource jobs and cut pay and benefits under a bankruptcy reorganizati...
FORT WORTH, Texas -- Flight attendants and ground workers marched in picket lines Tuesday to protest American Airlines' plans to outsource jobs and cut pay and benefits under a bankruptcy reorganizati...
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HUFFPOST SUPER USER
mugwhump
My chihuahuas own me.
06:01 PM on 03/16/2012
They want to move maintainance to asia to dodge FAA regulations, OSHA regulations, Unions, pensions, taxes, EPA regulations, and labor laws. The sad part is our government will let them do it.
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SitandStay
Lorenzo&BushH8ter
01:54 AM on 02/22/2012
Your fees and taxes and baggage costs will climb. There is no competition in the air carriers. Derugulation was simply sold to the senators so people like F L0renz0 could cannibalize and profit from it. The House and Senate passed bills calling for the investigation of SEC violations, FAA violations and OSHA violations of Eastern Air Lines when L0renz0 was the new president of EAL, even while he sat on Continential AIrlines board and transferred assets to them. Oh, did you know, his wife is a family member of the Rockefeller banking family?
The workers of Eastern were stockholders in our company. The state of the art computer system was sold for a fraction of it's worth and then leased back at an astronomical cost to Eastern.
Air Atlanta supplied, AFTER THEIR BANKRUPTCY, scrolls of passenger RESERVATION lists to be written off as we were commanded to book positive space for FREE for those UNTICKETED passengers.

Here is an excellent video, sheepole.......
http://www.youtube.com/watch?v=Qp-W4JwWOwg
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SitandStay
Lorenzo&BushH8ter
02:00 AM on 02/22/2012
Forgot to add, Bush 41 vetoed the bill that would have resulted in an investigation of Eastern Air Lines. Buddy Texan, 1 percenter, ya know, who now uses university endorsements for tax purposes. I hear when he flies commercial, he won't even drink from a soda can unless he opens it.
02:14 PM on 02/19/2012
These corporations and their representatives are not fooling anyone. The people who do the actual work are being demonized because the corporations raided the pensions for top executives.
Too bad I was not educated in school as they are about what to eat nowdays.
I should have been warned not to work for a corporation or depend on a pension or ss etc. If the people cannot retire-why should they pay into it.
Bernie Madoff was right-it is a shame he is in prison when his top talent could be utilized.
"The government is a ponzi scheme."
HUFFPOST SUPER USER
NovemberScorp
09:35 AM on 02/16/2012
You can bet that Management will get theirs first and rank and file will get whats left over. Since the company went BK, and previous contracts are out the window, perhaps high level management contracts and benefit packages should now be considered null and void. Just sayin ...
02:04 AM on 02/16/2012
Corporate greed is on the rise. The middle class is in decline. It's happening over and over again. Our country is in the krapper.
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HUFFPOST SUPER USER
kemcha
Advocate for the 99ers
09:52 PM on 02/15/2012
I have no sympathy for flight attendants. Please. They're just as obnoxious as the TSA are.
HUFFPOST SUPER USER
NovemberScorp
09:36 AM on 02/16/2012
Just remember your thought when the plane has an emergency and you need those "obnoxious" flight attendants
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SitandStay
Lorenzo&BushH8ter
01:55 AM on 02/22/2012
So, you're a 1 percenter.
09:35 PM on 02/15/2012
Yea that's right let's keep lowering that bar and pretty soon we'll be working like foxconn 14 hr days, sleeping 8 to a room and getting tea and a biscuit at their end of the day
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Aerobat
Truth through humor ... and sarcasm
01:16 AM on 02/16/2012
Actually they already do sleep 8 to a room in the back of a 747 on trans-oceanic flights. They alternate crews when their shifts are over (Per FAA requirement).
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HUFFPOST SUPER USER
Eleanor Ruby Moon
Writer, Air-race Pilot, Australian
01:42 PM on 02/16/2012
Aerobat: That's their job that they sign up for - long hauls require a change of crew and they don't have five star hotel-like accommodations on aircraft - duh. orrmazin1 was referring to the rest of the country and I agree with him/her. Large corps (even Qantas) are saving their bux deluxe by outsourcing to Asia which, as a fact I'm sorry to say, means the standards of airplane maintenance are lowered (how many engine failures has Qantas had in the last 6 months alone since they started outsourcing maintenance to Asia? - in some weeks, ONE A DAY) due to entirely different training standards in those countries. However, the top brass salaries and benefits and the corporate bottom line are much higher, the workers lose their jobs and benefits left, right and center, the passenger risk is much much higher, and there you have it. When the corporate greed infiltrates those industries where the safety of human lives are at greater risk, we can't yell loudly enough. It's not just Apple that's rotten to the core.
07:30 PM on 02/15/2012
They have some of the worst flight attendants, no sympathy.
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HUFFPOST SUPER USER
frank day
Republican = FAIL
07:19 PM on 02/15/2012
To CEOs
""They need to outsource their jobs. You could bring in bright young people who can manage this company for a lot less."

A great point and one that applies to many corporations.
06:53 PM on 02/15/2012
Its too bad that so many people have bought into the negative union stereotype thats been pushed upon us by the greedy bosses and the jealous workers. Its always easy to put a label on a group. These are normal people that do the same jobs everyone else does they just understand that there is power in numbers. Do you really think the middle class is going to win as individuals?
06:27 PM on 02/15/2012
Again - deregulation under Reagan is coming back to bite us. The few airlines that are left are always crying about how they just can't make it and yet when I watch the business report - record profits at the expense of workers.
09:14 PM on 02/15/2012
The Airline Deregulation Act was in 1978 and signed by Jimmy Carter. I know libs want to attack any conservative they can any time, but try to do a little research before venting in public.

What airline has reported record profits?
06:19 PM on 02/15/2012
Shut them down. Boycott American Airlines.
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JBS
Part time misanthrope & full time curmudgeon
06:30 PM on 02/15/2012
And don't forget that United breaks guitars.
01:26 AM on 02/16/2012
Amen. And that goes for every, every corporation. Down with Mammon, starve the Beast!
06:16 PM on 02/15/2012
Just like Europe had the fat cats from the Sindicatos who brought Europe down now we are seeing the varmint spreading like wildfire into this country. If this doesnt stop, we are doomed. Do you realize that in a pro-ratio we have more debt than Europe?
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jetjocki
Somewhere in the middle
06:08 PM on 02/15/2012
I really love what "my" union did for me.

The outside union organizers helped the workers win the election by 2%

After difficult negotiations the first contract was reached

Production decreased, costs increased, the large minority opposed to the union were unhappy with the union, employee turnover increased and the work rules made the company unable to compete with flexibility

The contract came up for renewal

Management refused the new contract terms

The union initiated an extended strike

Management gave the union a choice – buy the company, or find a buyer, or management would close the company and liquidate the assets

The union bought the company from management

Within 14 months the once profitable company was hemorrhaging red ink

By the 18th month the first layoffs in company history began

During the 38th month the company was closed and forced into liquidation by its creditors

Management bought back the company assets out of the liquidation for mere pennies on the dollar
and used the “windfall” to modernize the company and reduce the required labor force by 2/3, resulting in the permanent loss of over 638 jobs

86% of the applicants hoping to work at the re-opened company were from the minority that had opposed the union during the election

The non-union company reopened almost 4 years ago and is generating just over 6 times the profits it did before the union organizers first arrived.

OPPS! – Did I forgot to mention that I am the management.
HUFFPOST SUPER USER
TiredOfNo
And just plain tired of the right.
06:33 PM on 02/15/2012
Sounds like a real success story...." generating just over 6 times the profits it did before........" That's what happens when a company only pays minimum wages.
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jetjocki
Somewhere in the middle
06:50 PM on 02/15/2012
The only jobs in company at minimum wage are the in the "summer jobs" program we have for employee dependants.
09:53 AM on 02/16/2012
Sounds like a fairy tale, you should sell it to Rush so he can use it as ammo to further assault unions and middle class wages. Sounds more like a tale about fault management that couldn't compete. There are plenty of union businesses that have been around for decades that are profitable and compete fine in the modern market. Many companies that were union and were profitable closed shop in order to move overseas where there was cheaper labor and little to no regulation which increased profitability.. Labor is a market like anything else it will seek to maximize returns for its services just like a business. A business will seek to maximize profit by driving down labor costs. Businesses have the edge over individual workers who try to bargain individually, that's why workers needs unions in order to level the playing field a bit more. Sounds to me like your make believe company did not have very good bargaining skills.
05:59 PM on 02/15/2012
AA management did this to the company. The share the pain share the gain slogan they fed us was all lip service. We took major pay and benefit cuts in 2003 to prevent this from happening. We were led to believe that we would be given the opportunity to bring more of our own work back in house and bring in outside work to better our bottom line. It was shown that it could be done quicker/cheaper with better return times than if outsourced. A plane on the ground is not making money. Management would feed us a line that they were in major contract negotiations with other carriers and then would never follow through. Their reasoning was we're not going to make enough profit with our cost structure so why try. We figured if we could just keep our people working and at least break even, that would be a start. The contracts we did receive went extremely well but there were to few to keep us working. Durning this process upper management got Millions of dollars in bonuses and we got layoffs. Share the pain share the gain, where was our gain? We were told that they had to give these bonuses to keep THE BEST and BRIGHTEST in management, if this was their best we got short changed. I remember hearing durning a college course that "Airline Mechanics are just glorified auto mechanics" Remember at 35,000 ft. if the engines stop you don't just pull over.