American Airlines Plans for Outsourcing Jobs

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Recommended: American airlines history and development

American Airlines is one of the major airways in U.S, with its headquarters located in Fort Worth, Texas. It was founded in 1930 and began operating in 1934 as American Airways. It has been conducting extensive domestic and international scheduled flights to Europe, Asia, the Caribbean, South America, and North America. This airline has five main network centers located in airports of key cities. These include, Miami, New York City, Los Angeles, Chicago, and its main base Dallas. The actual CEO of the company is Doug Parker, the chairman is Tom Horton, and the president is Scott Kirby. In the past years, American Airlines faced a downfall in its profits which caused serious injuries to the company.
In February 1st of 2012, American Airlines Company made the decision of cutting 14,000 jobs, which 13,000 of them included union workers from a staff of 80,000 employees. This decision heavily affected the maintenance operation’s airline staff, as their job was going to be outsourced overseas. The plan consisted in cutting 4,600 mechanic systems in the U.S, including a complete closure of its heavy maintenance facility at Fort Worth’s Alliance Airport. Larry Pike, president of the local Transport Workers Union announced in an NBC 5 interview that the jobs in Fort Worth’s Alliance Airport will be the portion outsourced in a Hong Kong aircraft maintenance company named Haeco.
Nick Soldevere, an aircraft maintenance crew in Fort Worth’s said “We do pride ourselves on our maintenance work,” but the pride has turned into fear because most of the people working for the maintenance department are going to lose their jobs as the company plans outsource to Hong Kong. “Right now, the level of concern is very high.”

As of 2012, the decision of...

... middle of paper ...

...eved April 11, 2014, from CBS local site: http://dfw.cbslocal.com/2012/02/03/american-airlines-plans-to-outsource-some-jobs/
Genevieve Brown, (October 2, 2012). American Airlines: Timeline of Troubles [online]. Retrieved April 11, 2014, from ABC news site: http://abcnews.go.com/blogs/lifestyle/2012/10/american-airlines-timeline-of-troubles/
“AMR Corporation Reports 2Q 2011 Net Loss of $286 Million, Announces Landmark Aircraft Agreement and Eagle Divestiture Plan”. (N/A). Retrieved April 11, 2014, from http://www.aa.com/i18n/amrcorp/newsroom/fp_2q2011_financials.jsp?v_locale=en_US&v_mobileUAFlag=AA
“American Airlines' reorganization costs drive 3Q2012 loss but revenue momentum increases”. (2012). Retrieved April 11, 2014, from http://centreforaviation.com/analysis/financials/american-airlines-reorganisation-costs-drive-3q2012-loss-but-revenue-momentum-increases-85637

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