Labor union to suggest alternatives to AMR cost cuts

* TWU wants to haggle over AMR cost cuts

* Union says it wants to propose alternatives

* Says awaits financial details from AMR

By Kyle Peterson

Feb 14 (Reuters) - The union representing seven categories of ground workers at bankrupt American Airlines will offer alternatives to some of the job cuts and concessions the company says it needs to survive, the head of the Transport Workers Union said on Tuesday.

TWU has asked American's parent company AMR Corp for details on how it arrived at the cost-savings targets it unveiled this month when it said it planned to eliminate 13,000 jobs and terminate pensions.

Union president James Little told Reuters in an interview the union hopes to draw on the labor deals it struck with the company prior to the Nov. 29 bankruptcy filing to salvage some of those jobs.

"It's irresponsible for us to take those numbers for granted and not do our own analysis," Little said.

AMR said it was aiming for $2 billion in total annual cost reductions, including $1.25 billion in employee-related expenses.

American, the third-largest U.S. airline, said it may eliminate 13,000 jobs as part of its restructuring.

About 9,000 of those workers are members of the TWU, which had already negotiated contracts or tentative labor deals for four of the seven work groups it represents at AMR when the company filed for Chapter 11.

Little said the TWU is waiting for financial information from the company so it can either challenge the cost-savings targets or suggest alternatives to help AMR reach its targets in a way that makes the cuts more palatable to its members.

"We would like to reach a consensual agreement," Little said, adding that he expected other labor unions also to offer alternatives to the AMR's plan.

The airline has presented non-public details of its restructuring plan to members of its creditors committee. Labor unions representing pilots, flight attendants and groundworkers, have three of the nine seats AMR presented to creditors.

Any reorganization plan would require approval from AMR's bankruptcy court judge.

AMR restructured out of court nearly 10 years ago, while several of its rivals like United Airlines and Delta Air Lines slashed costs with Chapter 11 protection. Those two airlines emerged from Chapter 11 stronger, went on to find merger partners and now earn profits while AMR posts losses.

AMR, meanwhile, relied on voluntary concessions during its last reorganization but now complains its labor costs are higher than its competitors.

American said it lost $10 billion over the past decade and financed the red ink with debt. The period was marked mainly by industry downturns triggered by the 2001 hijack attacks, recession, and skyrocketing fuel prices.

American has about 73,800 full and part-time employees and its regional carrier American Eagle has 14,200 full- and part-time employees.