American Airlines flight attendants picket as CEO tries to calm frustrated employees

Core Viewpoint - American Airlines is facing significant pressure from its flight attendants' union, which is advocating for new leadership due to the airline's underperformance in profitability and punctuality compared to competitors like Delta Air Lines and United Airlines [1][3]. Group 1: Union Actions and Leadership Pressure - The Association of Professional Flight Attendants, representing 28,000 cabin crew members, has issued a vote of no confidence in CEO Robert Isom, marking the first such action by the union [3]. - The pilots' union has also expressed dissatisfaction, seeking a meeting with the airline's board to address ongoing issues [3]. - The upcoming picket outside the company's headquarters is an unusual action outside of contract negotiations, indicating heightened tensions between labor groups and management [4]. Group 2: Financial Performance and Projections - American Airlines forecasts stronger revenue and profits for 2026, projecting adjusted earnings per share of up to $2.70, a significant increase from the adjusted 36 cents reported last year [4]. - For the first 11 months of the year, American Airlines ranked eighth in punctuality with a 73.7% on-time rate, indicating a need for operational improvements [6]. - In 2025, American Airlines reported a net income of $111 million, significantly lower than Delta's $5 billion and United's over $3.3 billion, leading to employee dissatisfaction regarding profit-sharing [7]. Group 3: Operational Improvements - The airline is undergoing a revamp aimed at enhancing profitability through modern airplane cabins that can command higher fares, especially as coach-class fares have decreased [5]. - Investments are being made in larger airport lounges and the addition of free Wi-Fi for customers, which are part of the strategy to improve customer experience and financial performance [5].