American looking to "right-size" the company and staffing levels for the Fall and 2021

Discussion in 'American Airlines' started by jimntx, May 21, 2020.

  1. wings396

    wings396 Veteran

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    I've been through a few mergers in my career as well. Given the current environment with the drastic drop in passenger traffic, I don't think that the government would frown upon anything that would help the airlines get back on track. My thoughts are an eventual combination of AA & B6, and possibly even AS put into the mix at some point. They all got together for a good reason, to generate more connecting traffic and revenue. The next step to profitability is cutting costs by consolidating anything that they can. The fleets are already on par with each other with AA having a large fleet of Airbus and 737s. Only time will tell, but I wouldn't rule out anything at this point. Years ago, I wouldn't have thought that there would only be 4 major airlines around someday.
     
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  2. Kev3188

    Kev3188 Veteran

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    That's exactly what it is. It's the next step in outsourcing of flights in the NE to B6, and (to a lesser extent) to AS on the West Coast.

    I've been surprised at how quiet AA's unions have been on all this. It's a viable threat to your careers.
     
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  3. wings396

    wings396 Veteran

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    It's not a surprise to me, they can and have been outsourcing flying to Eagle for many years. We've lost lost numerous stations and jobs on all levels due to this. Prior to the
    AA/US merger, AA gave a bunch of routes away to B6 at JFK. Given the scaled down activity in NYC & BOS, I truly believe that they have been paving the way for a merger at some point. The less amount of overlap in key cities, makes the approval process a lot smoother when the time comes.
     
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  4. V.O. Reason

    V.O. Reason Veteran

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    Service reductions are allowed in the contract doesn’t matter how its done, so the union has no say
     
  5. V.O. Reason

    V.O. Reason Veteran

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    I think it’s possible since these are uncharted waters we could see AA, B6 and AS all come together under one corporate group but retain their name for the brand loyalty
     
  6. swamt

    swamt Veteran

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    That makes good sense to me.
    Per this article JB gains more flights than AA with the code share...


    https://www.google.com/url?rct=j&sa...VuOlVT&usg=AFQjCNG6X8CjjSFaUsBVysVa0z5Ce2ls4w
     
  7. Kev3188

    Kev3188 Veteran

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    I remember when wrote about your station closing (AVP??).

    Late 2019 was the first time in about 25 years I thought we could all finally exhale. Silly me.

    Is this a signal for a merger? Maybe. I do think it’s AA throwing the white flag in the NE, and B6 trying to gain FF’s in the interior.

    Not at all the point. There is a much larger issue at play than just flight thresholds.
     
  8. swamt

    swamt Veteran

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    I would expect to see some other airlines jump into the game so not to be left out.
    Could a Delta/SWA merger come to reality? Or better yet SWA/Frontier/Spirit?? Whoo knows they may allow it in order to save some jobs and airlines...
     
  9. Thunderdome

    Thunderdome Member

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    Personally I don't see a Merger or Bankruptcy in the next few years. Though, I would say I see a SWA/Frontier/or Spirit Merger as more likely to happen than any of the big 4 getting together.

    TD
     
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  10. dfw gen

    dfw gen Veteran

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    the only thing that riles the association is when dues are actually, truly threatned. until then the enjoy ignorant bliss
     
  11. wings396

    wings396 Veteran

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    Yes, that's when our union threw us along with 23 other stations under the bus in order to save catering in 3 cities.
    On the topic of the NE, I don't believe that AA is waving the white flag without having an alternative reason for doing so. At one time LUS was a major player in the NE, and Parker and company are fully aware of the importance of having a strong presence in the area. I believe that they have been setting the table for another merger at some point. With the operation that DL has in LGA & JFK, they would never get the approval for a B6 merger. The same can be said about UA with their marketshare at EWR since that's grouped in with the NYC airports. With B6 being under attack from DL in NYC and BOS prior to the pandemic, they will be forced into a corner at some point too. It's only viable option is to link up with another carrier in order to survive.
     
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  12. NewHampshire Black Bears

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    You'd see JESUS, before you'd EVER see DL/WN !!!!
     
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  13. swamt

    swamt Veteran

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    I know. That's why I threw that one out there. I am actually thinking the SWA/Alaska rumors mill might pick back up again. Unless of course AA does a three-way with JB and ALK. It would be a smooth integration as far as the mechanic and related go.
    But I also still think SWA/Frontier and/or Spirit would be easier as far as DOT approval.
    Heck maybe SWA could even jump in and swipe JB up and away from AA, never know in these desperate times for the airlines, anything is possible when consolidation is seen as required for survival...
     
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  14. swamt

    swamt Veteran

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    United was first to announce on Fri., now AA is following the same route with possible layoff notices coming again.
    Everyone get ready and buckle up. I don't see the Senate coming to an agreement for PSP extension as Biden holds strong to 1.9 Trillion package and won't budge. Stalemate all over again folks.
    One thing Parker did say was that the total number of notices will be smaller than before...

    https://finance.yahoo.com/news/united-airlines-says-14-000-193747610.html


    https://www.yahoo.com/news/american-airlines-employees-brace-more-061240961.html
     
  15. swamt

    swamt Veteran

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    Delta now joining Southwest in saying no layoffs or furloughs for rest of 2021, and that is even if congress does not do another PSP for the airlines.
    Makes me wonder if United and AA are just throwing the layoffs in the gov face to get more $$$. A push if ya will for more help when, do they really need it??
    Maybe United and AA needs to do better leave packages to get folks to take the leaves or stay at home with partial pay packages.

    https://r.search.yahoo.com/_ylt=Awr...896.html/RK=2/RS=psdrU6JhRL8QE1Jl8sLmh8Nh7t4-
     
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