Boeing will cut about 5% of its Commercial Airplanes workforce through a mix of layoffs and attrition, the company said on Monday, Nov. 9.
The planemaker says it is resetting the pace at which it planned to increase jet production, leaving it with more workers than it currently needs.
The story in 7 points
- Boeing plans to cut roughly 5% of its Commercial Airplanes workforce.
- The reductions will come through a combination of layoffs and attrition.
- The news was shared in an email to employees from Commercial Airplanes chief Stephanie Pope.
- Boeing says it is slowing the pace of its planned production rate increases.
- Lower aircraft output, Pope said, puts the company in an “overstaffed position.”
- Boeing has not said how many jobs will be affected.
- The Seattle area, home to Boeing’s main commercial jet operations, is expected to feel the impact.
Boeing has spent the past few years trying to rebuild production of its jets after a series of quality and safety problems. Plans to ramp up output more quickly have now been scaled back, and the workforce cut follows from that slower schedule.
The company did not give a breakdown of where the cuts will fall or a total number of affected employees.
Why it matters
Boeing is one of the largest US manufacturers and exporters, and its production pace affects airlines waiting for new planes as well as thousands of suppliers. A slower ramp-up could mean longer waits for aircraft deliveries, while the job cuts will be closely watched in the Seattle region.
Sources: AFP via CTV News, KIRO 7 / MyNorthwest