American and its employees have worked hard over the past decade to survive. We have spent more than five years trying to reach consensual agreements with our unionized workgroups, but ultimately, we ran out of time. Industry competition was too fierce, our costs too far out of line and the economy too unstable to continue operating as we were. It became clear that our course was unsustainable and restructuring our airline became a necessary course of action.
American’s successful restructuring, and its very survival, requires us to re-think every aspect of our business, and that includes a new starting point for negotiations with our employees.
We need significant productivity improvements and to make fundamental structural changes to eliminate restrictions on our business so we can operate a more efficient and competitive airline. We need to address our pension obligations, reduce our direct labor costs and get more flexibility in how we operate our business. All of these changes are absolutely critical for the successful transformation of our airline. Though some changes will be difficult, we will have an opportunity to save tens of thousands of jobs and create opportunities to grow in the future.
When we exit reorganization, we will be stronger. We have to ensure we make the necessary adjustments that will allow us to be successful for the long-term and regain our leadership position within the industry.
American Airlines © 2012