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AA To Slash 1,000's Of Jobs/ Pay Cuts.  
User currently offlineAa777flyer From , joined Dec 1969, posts, RR:
Posted (8 years 10 months 6 days 14 hours ago) and read 7360 times:

I was on the phone with a friend last night talking about AA's future. It is expected that AA will post a $150M loss today for the 3rd quarter. It is expected that early next week at the Fall Leadership Confrence that AA will announce it will cut approx 8,000 job by year end and ask the remaining employees for concessions in pay/benefits.

33 replies: All unread, showing first 25:
 
User currently offlineKC135TopBoom From United States of America, joined Jan 2005, 12134 posts, RR: 51
Reply 1, posted (8 years 10 months 6 days 13 hours ago) and read 7064 times:

Is AA's 3rd quarter loss mostly caused by high fuel prices? I don't think they have spent a lot of money, yet, fighting the Wright Amendment. Can they can no longer effectively fight that WA battle?

User currently offlineCommavia From United States of America, joined Apr 2005, 11515 posts, RR: 61
Reply 2, posted (8 years 10 months 6 days 12 hours ago) and read 7009 times:

Quoting KC135TopBoom (Reply 4):
Is AA's 3rd quarter loss mostly caused by high fuel prices?

Entirely.

AA is actually running probably the most efficient, productive and lowest-cost legacy airline ever right now, with the possible exception of CO. AA has done an amazing job at cutting costs everywhere and making their operation much more economic. The fuel prices, however, are completely erasing all of those gains.

If AA was paying for fuel today what it was paying for fuel five years ago, it would be reporting record profits right now.


User currently offlineToTheStars From United States of America, joined Jan 2005, 264 posts, RR: 0
Reply 3, posted (8 years 10 months 6 days 12 hours ago) and read 6992 times:

I hope this "news" is false and I wish all the employees of AA much luck. As a TWA flight attendant, I along with my fellow coworkers will never be recalled to active status at AA... However, I still can't help but feel empathy and compassion to those at AA who never showed it to me.


TWA-Airline To the Stars
User currently offlineDAYflyer From United States of America, joined Sep 2004, 3807 posts, RR: 3
Reply 4, posted (8 years 10 months 6 days 12 hours ago) and read 6965 times:

I wish them all the best of luck. Lord I hope it is just a false rumor. The last thing this industry needs is the one healthy legacy carrier having to do this right now.


One Nation Under God
User currently offlineLMP737 From , joined Dec 1969, posts, RR:
Reply 5, posted (8 years 10 months 6 days 12 hours ago) and read 6925 times:

Quoting Aa777flyer (Thread starter):
I was on the phone with a friend last night talking about AA's future.

Is this the same friend who's a member of AA management? If so does this individual know you go out and post what they say on airliners.net?


User currently offlineTbird From United States of America, joined Oct 2001, 851 posts, RR: 19
Reply 6, posted (8 years 10 months 6 days 12 hours ago) and read 6900 times:

While AA may not be the airline they use to be, they have probably one of the best management teams in the industry and they've managed to cut their loses and generate small profits helping to offset their loses. If fuel prices weren't so high AA certainly wouldn't be doing badly at all. I think you have to applaud Apery and his team for the job they've done at AA.

User currently offlineBigGSFO From United States of America, joined Jun 2005, 2920 posts, RR: 6
Reply 7, posted (8 years 10 months 6 days 12 hours ago) and read 6884 times:

I don't think this will happen personally. This sounds very drastic and it counter to everything that seems to coming out of AA's shop these days.

In fact there is an article in today's USA Today implying the opposite:

http://www.usatoday.com/travel/news/...05-10-18-american-cover-usat_x.htm

Of course time will tell - AMR will be releasing 3Q earnings later today and it is estimated to be around $80MM loss.


User currently offlineAa777flyer From , joined Dec 1969, posts, RR:
Reply 8, posted (8 years 10 months 6 days 12 hours ago) and read 6870 times:

Quoting LMP737 (Reply 8):
Is this the same friend who's a member of AA management?

Yup, he was the one who told me about ORDDEL. And no he has never heard of A.net


User currently offlineBigGSFO From United States of America, joined Jun 2005, 2920 posts, RR: 6
Reply 9, posted (8 years 10 months 6 days 12 hours ago) and read 6857 times:

I stand corrected. Just released: $153MM loss.

http://biz.yahoo.com/prnews/051019/daw012.html?.v=69


User currently offlineFleet service From United States of America, joined Apr 2000, 622 posts, RR: 2
Reply 10, posted (8 years 10 months 6 days 11 hours ago) and read 6762 times:

Funny, I was speaking a member of local management at LGA yesterday and there was no mention of pay cuts or massive layoffs coming down the pike.

I've known this particular manager for many years, and they've never been wrong with their information.

Coming back to us for another round of pay cuts will burn all of the bridges Arpey has so painstakingly built with labor since he took the helm in 2003.



Yes, I actually *do* work for an airline,how about you?
User currently offlineN501US From United States of America, joined May 2005, 220 posts, RR: 0
Reply 11, posted (8 years 10 months 6 days 11 hours ago) and read 6639 times:
Support Airliners.net - become a First Class Member!

Wow, another A.net thread starter concerning layoffs that has no facts to back it up. Suggest adding a "?" to the topic or deletion.


Fools and thieves are well disguised in the temple and the marketplace.....
User currently offlineCkfred From United States of America, joined Apr 2001, 5206 posts, RR: 1
Reply 12, posted (8 years 10 months 6 days 11 hours ago) and read 6601 times:

I think it all depends on what the price of oil does. Since oil and gas inventories increased much more than expected, prices have dropped a lot today. Part of the reason is that demand is down, due to high prices.

If people conserving gasoline, and DL and NW do cut their flying by 10% to 20%, jet fuel prices will come down. And as refineries and other oil facilities come back on line, that will also drive prices down.

A friend of mine at AA has said that if oil just stayed below $55 a barrel, AA would be in good shape.


User currently offlineTornado82 From , joined Dec 1969, posts, RR:
Reply 13, posted (8 years 10 months 6 days 11 hours ago) and read 6584 times:

Quoting Aa777flyer (Reply 8):
Yup, he was the one who told me about ORDDEL. And no he has never heard of A.net

If your management buddy is leaking stuff to you about profits/losses before it's officially public, that you then post on A.net... you're both treading a slippery slope.

It, in turn, leads to issues like insider trading and whatnot. They make nice ankle bracelets for folks like you and your friend.


User currently offlineAa777flyer From , joined Dec 1969, posts, RR:
Reply 14, posted (8 years 10 months 6 days 10 hours ago) and read 6527 times:

Quoting Tornado82 (Reply 13):
If your management buddy is leaking stuff to you about profits/losses before it's officially public, that you then post on A.net... you're both treading a slippery slope.

It, in turn, leads to issues like insider trading and whatnot. They make nice ankle bracelets for folks like you and your friend.

Oh give me a break... Most analyst were predicting this anyway.....As for layoffs and pay cuts, they have nothing to do with indisder trading, and for the record, those have been speculated about too by analyst.


User currently offlineCommavia From United States of America, joined Apr 2005, 11515 posts, RR: 61
Reply 15, posted (8 years 10 months 6 days 10 hours ago) and read 6514 times:

I am not sure about the validity of this statement, that AA is going to lay off 8,000 people between now and year's end. I'm not saying it is false, but just questioning it. AA already has its budget laid out through 31 December, and laying people off would mean redoing their budget between now and the end of the year, a costly and time-consuming process. If there are to be layoffs (which I expect probably will happen), I doubt it will happen before the new year.

User currently offlineMidway2AirTran From United States of America, joined Jul 2003, 864 posts, RR: 2
Reply 16, posted (8 years 10 months 6 days 10 hours ago) and read 6484 times:

I'm not the most fond of AA personally but they do have a good thing going on there considering the environment and are making good decisions with the resources they have. Those cuts sound a bit extreme compared to the news I've been hearing recently about AA.

Quoting Tornado82 (Reply 13):
If your management buddy is leaking stuff to you about profits/losses before it's officially public, that you then post on A.net... you're both treading a slippery slope.

That's why I always check out the the anet before I make a trade!  Smile



"Life is short, but your delay in ATL is not."
User currently offlineAACUN From Mexico, joined Jan 2004, 522 posts, RR: 1
Reply 17, posted (8 years 10 months 6 days 8 hours ago) and read 6298 times:
Support Airliners.net - become a First Class Member!

TotheStars

Thx for the good thoughts and wishes......... One thing though, I came last night from Sao Paulo, and the new rumor going aroung is that there is going to be a recall come january, and that it will include TWA flight attendants. We´ll just have to wait and see.


User currently offlineLMP737 From , joined Dec 1969, posts, RR:
Reply 18, posted (8 years 10 months 6 days 7 hours ago) and read 6212 times:

Quoting Aa777flyer (Reply 8):
Yup, he was the one who told me about ORDDEL. And no he has never heard of A.net

It seems to me to be a bit irresponsible on his part to be discussing this with people outside the company.


User currently offlineKKMolokai From United States of America, joined Feb 2000, 760 posts, RR: 2
Reply 19, posted (8 years 10 months 6 days 7 hours ago) and read 6152 times:

I was told by a member of management this morning, that AA will be reducing management head count by 5% system-wide. There was no discussion of any other workforce reductions and/or pay concessions.


We are the people of American Airlines. And we know why you fly.
User currently offline777Purser From United States of America, joined Aug 2005, 219 posts, RR: 3
Reply 20, posted (8 years 10 months 6 days 6 hours ago) and read 6081 times:

AA is short FA's there is a rumor of recalls already. On the concessions end, aparently the pilots unions has almost offered a paycut. Would you believe that? We'll wait and see.

User currently offlineBigGSFO From United States of America, joined Jun 2005, 2920 posts, RR: 6
Reply 21, posted (8 years 10 months 6 days 6 hours ago) and read 6035 times:

Quoting 777Purser (Reply 20):
AA is short FA's there is a rumor of recalls already

I have heard this too (partner is AA F/A) due to attrition. However the workforce seems tohbe highly utilized right now. With this being said I can see layoffs at AA, but thousands?

[Edited 2005-10-19 23:27:09]

User currently offlineRiffedAAMech From United States of America, joined Jun 2004, 52 posts, RR: 0
Reply 22, posted (8 years 10 months 6 days 6 hours ago) and read 5978 times:

Quoting LMP737 (Reply 18):
It seems to me to be a bit irresponsible on his part to be discussing this with people outside the company

When has anyone in AA management ever been responsible? They are usually the most irresponsible people in the company in my personal experience.


User currently offlineHarvardman99 From United States of America, joined May 2005, 17 posts, RR: 0
Reply 23, posted (8 years 10 months 6 days 4 hours ago) and read 5403 times:

This posting is absolutely false. I was in budget meetings at HDQ all day. There are planned changes - many operational. You are doing nothing but spreading false rumors. I suggest you name your sources in the future as your postings are usually 100% incorrect.

User currently offlineDadoftyler From , joined Dec 1969, posts, RR:
Reply 24, posted (8 years 10 months 6 days 3 hours ago) and read 5123 times:

Everyone,

As my son says...."simmer, simmer..." AA777flyer could have heard this from a friend at HDQ, who either was just stirring sh*t or outright trying to make himself look bigger, or someone mis- or half-heard something. I once had a level 1 analyst that workd for me who I found out was making up all kind of outright lies and telling them to her agent friends in the field just to pump up her "polical capital." Needless to say, she's enjoying her new career selling ladies unmentionables at Dillard's. Or, someone heard something wrong, read half of a memo someone left somewhere, or whatever.

Bottom line is that the AA of today is a successful company in the long-term. Arpey is a vastly different creature than his predecessors (and thank you, Jesus for that). He's bright, personable, but equally important he's all-out to do what's RIGHT, not what generates the most $$$ in the P&L. And, guys, the AA HDQ team--at almost all levels--has a different mindset these days. All of the raping and pilaging--well, most of it, anyway--of the kind that got Carty fired is OVAH. I'm not asking that you trust, just hope and watch for actions to confirm this....they will not dispute it.

I don't work for AA, but I did, and I remain close enough to a number of people that do work there to know all of this to be a fact. Just watch. All you hAAters and flAAmers, kindly continue to do so....but remember this post, and let's revisit these ideas in, say, 12 months or so. I won't even say it's a new and proud AA that's coming out (so to speak). In many ways, it's our FATHER'S AA....one with the pride, the customer focus, and the team feeling of the Flagship days of Mr. C.R. For those of us that hope for their success...let's pray it continues.

dadoftyler


25 Tundra767 : Dadoftyler you make a great point! Thanks !
26 Ckfred : Here's an idea for your consideration. While AA employees agreed to wage cuts and other work rules changes, Eagle employees were never asked for conce
27 Whataboutme : Don't look at it that way. There are many employees (F/A's) that wish we were back on line and flying along side of them. It is only an handful of F/
28 Commavia : I doubt it, as AA and APFA have just agreed on new contract language that changes staffing formulas on flights with new Buy-On-Board food (most non-i
29 Post contains images BigGSFO : It's actually my understanding the F/A staffing on most domestic flights is at the bare minimum now, i.e. 3 per MD80 etc. Those F/A's on their reserv
30 Post contains links Commavia : Nope. AA's staffing on many flights is still above FAA minimums, which is why staffing levels will be reduced on many flights this winter. From the A
31 BigGSFO : OK so it's not across the board domestic flying; just in the above-mentioned markets.
32 Whataboutme : I recieved an email from my union rep yesterday and he said that there may be a recall in early 2006, but it will be about 600 to 800. Taking about 4
33 Ckfred : How much can AA reduce F/A staffing on flights under 1 and 1/2 hours? I can't remember the last time I was on an MD-80 that had more than 4 F/As. Unle
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