Layoffs expected this week at American Airlines' facility in Tulsa
Monday, April 28th 2003, 12:00 am
By: News On 6
Just about everyone breathed a sigh of relief when American Airlines dodged bankruptcy last week. But how long will that relief last?
News on 6 business reporter Steve Berg says during his very first speech, new CEO Gerald Arpey said the airline is not out of the woods yet. There's a wide variety of opinion on how much time the new contracts with the unions will give American. Some say as much as a year. But the airline has said all along that bankruptcy is still a very real possibility, even with the new deals.
Of course, nobody understands the dire nature of the situation better than the unions. The local Transport Workers Union tells us that the new deadline for layoff notices is Wednesday. And they say the number of layoffs here in Tulsa is still expected to be 711.
Of course, those that avoid layoffs still have that big 17.5% pay cut to deal with. They tell us those are still set to take effect on May 1st.