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Weekend Photo - Phuket Island, Thailand

American Airlines aims to cut 13,000 jobs

American Airlines LogoDALLAS -- The parent of American Airlines wants to eliminate about 13,000 jobs -- 15 percent of its workforce -- as the nation's third-biggest airline remakes itself under bankruptcy protection.

The company proposes to end its traditional pension plans, a move strongly opposed by the airline's unions and the U.S. pension-insurance agency, and to stop paying for retiree health benefits.

AMR Corp. said Wednesday that it must cut labor costs by 20 percent. It will soon begin negotiations with its three major unions, but the president of the flight attendants' union quickly rejected the company's ideas as unacceptably harsh.


(It may be time to use some of my 103,618 American Airlines AAdvantage miles.... TB)