Many American Airlines Employees Seek Early-Out Payments

Thursday, September 27th 2012, 9:25 am
By: News On 6

American Airlines says almost 1,600 mechanics and maintenance clerks are seeking early-out payments to leave the financially strapped carrier. 

The workers could get $12,500 to $22,500 depending on their jobs. 

American said Wednesday that it expects employees taking the payments will leave over the next 12 months. 

"We are pleased 1,595 employees covered by the TWU Mechanic & Related and Stores agreements have chosen to sign up for the Early Out incentive plan. While any involuntary reductions are unfortunate, the significant interest we received in these options, along with interest in the Fleet Service option, will allow us to substantially reduce the number of furloughs necessary for people in these workgroups. We expect the Early Out departures to occur on a staggered basis to align with our operational needs, with most anticipated departures to take place in December 2012 and February, May or September 2013." – Bruce Hicks, American Airlines spokesman.

American parent, AMR Corporation filed for bankruptcy protection in November and is trying to cut annual labor spending by about $1 billion through layoffs, reduced benefits and other changes.

The Associated Press contributed to this report.