American Airlines filed a motion in U.S. Bankruptcy Court on Friday that would eliminate the option for pilots to take their pensions in a lump sum payout instead of monthly payments.
In the motion, AMR Corporation and American Airlines, Inc. stated that eliminating the lump sum payout was "necessary to avoid a termination of the plan."
Because the company filed for Chapter 11 reorganization, pilots have not been able to take advantage of this clause in their agreement, but once the company emerges from bankruptcy, sometime in 2013, American Airlines expects many pilots to take advantage of the clause and retire from the company, causing a pilot shortage.
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