American Airlines Struggles with Labor Costs Amidst Rival's Lucrative Profits
Originally Published 2 years ago — by ABC News
American Airlines has reported a $545 million loss for the third quarter, citing higher labor costs as the main factor. This is in stark contrast to its rivals, United Airlines and Delta Air Lines, which both earned $1.1 billion each in the same period. American's labor costs increased by nearly $600 million, offsetting the benefit of lower fuel prices. Concerns are growing over rising costs for airlines as fuel prices surge and travel slows down. American's loss adds to industry-wide anxiety over burdensome costs.