American Airlines To Cut 13,000 Jobs and Pensions, Healthcare

Parent company AMR Corp. of American Airlines said Wednesday it wanted to cut 13,000 jobs and $1.2 billion from employee pension plans, the Associated Press reported on its website.

The company is in bankruptcy—Chapter 11—since November, and owes the pension funds dollars it apparently can't afford.

Airline unions said the proposals were outrageous, and planned to fight. Unions put the cuts in dollars closer to $2.8 billion.

American Airlines slashed the number of flights through Lambert-St. Louis International Airport in 2009 and 2010, leaving room for bags-fly-free Southwest Air to take over many of the routes and direct flights lost.

AP reported job cuts would include 400 pilots, 4,600 maintenance workers, 4,200 baggage handlers, 2,300 flight attendants, 1,400 management and support employees. The airline would end health coverage for retirees.

A decade ago, American Airlines flew some 400 flights daily out of Lambert, now it's about 30, according to airport officials.