ICM and Daifuku Partner to Upgrade American Airlines’ Baggage Handling System at Chicago O’Hare Airport

Industrial Constructors/Managers, Inc. (ICM), a licensed general contractor specializing in industrial construction and plant maintenance announced that it has been awarded a $12 million dollar contract to upgrade and expand the baggage handling system for American Airlines in the third terminal at Chicago O’Hare Airport. New equipment will be supplied by Daifuku, a premier supplier of baggage handling equipment, including sortation systems, early baggage storage, conveyors, carousels and other airport operational systems.

The project includes enabling tasks for a larger installation project, which ICM completed in the fall of 2024. This included demoing 3,738 feet of existing conveyor systems so that walls and office space could be moved to accommodate the baggage claim expansion. This spring, ICM will install four new flat-plate baggage claim carousels in a new area, along with 14,361 feet of conveyor systems and 4,697 feet of catwalks and handrails so that the makeup units that sort inbound and outbound bags can subsequently be expanded to include 22 new units. 

“The airlines are trying to keep up with increasing consumer demand for travel, which translates all the way down to the expansion of baggage handling systems to better accommodate increased passenger traffic,” said Jamie Hodges, executive vice president at ICM. “We’re happy to support this effort using Daifuku’s premier baggage handling equipment, which will dramatically improve efficiency for both the traveler and airport operations staff.” 

ICM will employ roughly 25 people throughout the project, who will consist of millwrights, journeymen and apprentices sourced through the local Chicago unions. A portion of labor will be hired from economically disadvantaged areas identified through the Chicago unions, with ICM sponsoring new apprentices from within those areas to help provide employment to people in need. 

“We chose ICM for this project due to their extensive experience overhauling baggage handling systems, particularly at Denver International Airport,” said John Blakemore, vice president of airport operations at Daifuku. “They have already demonstrated their expertise and efficiency by completing the enabling tasks a week early. We look forward to working with them on the larger installation project when it commences this spring.”