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American Backs off Plan to Dump Pensions

In February, American Airlines announced plans to eliminate the jobs of 13,000 workers and dump pension plans for nearly 90,000 workers into the federal government’s Pension Benefit Guaranty Corp. (PBGC) as part of its bankruptcy plan. Roughly 9,000 Transport Workers (TWU) members are employed at American.

But yesterday, following negotiations with the TWU and PBGC, American announced it was abandoning its pension proposal. Says TWU President James C. Little:

The company initially wanted to terminate our pension plan, shift the cost to the government and put our members at risk. Our negotiating team drew a line in the sand and said this was totally unacceptable—and today we are pleased to report that [American] has informed us they are willing to accept our proposal for a freeze of the current pension plan.

Read more from Little here.

Meanwhile in TWU’s latest “I Support American Jobs” video, Gregg Aponte, a fleet service clerk and member of TWU Local 568 in Miami who has worked at American for 15 years, asks American management who have demanded and won concessions from workers over the years: 

If the company’s been losing money, how can you guys be getting bonuses?

You can show your support for employees at American Airlines by signing TWU’s pledge to support the workers by telling public officials, the news media and community leaders that employees at American Airlines and regional carrier American Eagle and all workers dependent on these airlines must be treated fairly.

Click here to add your name to the nearly 17,000 people who have signed the “I Support American Jobs” pledge.

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