American Airlines could cut 900 flight attendant jobs

The Fort Worth-based airline expects to reduce jobs for pilots and mechanics too, but it hasn't released numbers yet.

American, the nation's largest carrier, said Wednesday that job cuts were necessary "to overcome near-term challenges and secure our company's long-term future".

American parent AMR said in a regulatory filing Wednesday it will take a charge of $70 million to cover severance costs for reducing its work force of 82,000, including the flight attendant jobs.

Further, AMR said, reduced flying and other cutbacks will lead the company to take a non-cash accounting charge of about $1.1 billion to $1.2 billion for the just-concluded second quarter. That charge covers the reduced value of the company's MD-80 and Embraer RJ-135 aircraft fleets.

Analysts were already expecting AMR to post a loss of about $330 million in the second quarter, according to a survey by Thomson Financial. Those forecasts typically don't include one-time charges.

In May, American announced it would cut domestic capacity 11 percent to 12 percent later this year, retire some planes and cut an unspecified number of jobs.

Federal law requires employers to give 60 days notice of major layoffs, and officials of the flight attendants' union said they received a notice Wednesday of job reductions that could start Aug. 31.

Airlines and union officials said they would try to reduce layoffs through attrition or by employees voluntarily taking leaves of absence or sharing jobs.

American has about 18,000 active flight attendants, so 900 jobs represents 5 percent of the ranks.

American and sister airline American Eagle expect to spend more than $10 billion on jet fuel this year, up from $6.7 billion last year.

American is the latest airline to put a number on possible job cuts and reduced flying due to rising fuel costs and widening losses.

Continental Airlines Inc. is cutting 3,000 jobs and grounding 67 jets, and offered voluntary-departure packages — but no cash — to employees with at least 10 years experience.

UAL's United Airlines, the United State's second-largest carrier, plans to eliminate 950 pilot jobs and 1,600 salaried positions. Delta Air Line is shedding 4,000 jobs — spokeswoman Betsy Talton said more than that number took incentives to leave, avoiding layoffs — and US Airways Group is cutting 1,700.

Airlines are also raising fares and imposing new and higher fees for checking luggage, hauling a pet or sitting in a choice aisle seat.

Still, the industry's trade group, the Air Transport Association, predicts that U.S. airlines could lose $13 billion this year.