American Airlines is trying to save more than $1 billion by cutting 13,000 jobs.
The carrier, which is under bankruptcy protection, told its employees about the cuts Thursday. Unions say they're going to fight the move.
But what does these cutbacks mean for American Airlines passengers?
Customers can expect fewer flights to and from cities that are not the airline's hubs of Chicago, Miami, Dallas, Los Angeles and New York, CBS News travel editor Peter Greenberg said on "CBS This Morning." "They're going to try to beef up the service there," he said. "But for all the other cities out there, that may be a problem."
Some of the airline's maintenance, Greenberg added, may be outsourced. "American has prided itself as an airline that did all maintenance in-house," he said. "You lose 2,100 people, that means a lot of the jobs go out of the country. ... Right now, I wouldn't be worried about that."
The cost cuts are following the roadmap of all the legacy carriers that have filed bankruptcy, Greenberg said.
"They're trying to terminate the pension plan, which will be a bone of contention and battleground with the union," Greenberg explained. "But more importantly than that, they're sort of circling the wagons."
So could this move signal the end of American Airlines?
Greenberg said that isn't likely to happen. "They have a lot of cash in the bank, they've got the strong alliance ... and a number of people (Amrican) might end up merging with or consolidating with. In the short-term, I don't think it's a problem; in the long-term, you may see a different airline, but I don't think they're going anywhere."
For more on the implications for consumers, including where cutbacks will be seen soon, click on the video above for Greenberg's full analysis.