Boeing Company (NYSE:BA) added large-scale layoffs to its list of troubles in 2024 as the company faces an ongoing strike of its unionized factory workers, government investigations, executive churn and mounting financial losses.
Boeing To Cut 17,000 Jobs: The aerospace giant announced Friday a 10% workforce reduction of approximately 17,000 jobs in an effort to stem financial losses related to production delays and its ongoing factory workers strike. Boeing CEO Kelly Ortberg said the layoffs would affect executives, managers and employees.
"We know these decisions will cause difficulty for you, your families and our team, and I sincerely wish we could avoid taking them. However, the state of our business and our future recovery require tough actions," Ortberg wrote in a message to employees.
According to a Reuters report, Boeing planned a series of internal meetings this week to flesh out its workforce reduction plan. The reductions may include involuntary cuts in order to better manage costs and impacts, industry sources said.
Read Next: Jim Cramer Is Worried About This Plane Maker, Says Palo Alto Is A ‘Good’ One
Ongoing Boeing Strike: Approximately 33,000 Boeing factory workers remain on strike after aircraft assembly workers rejected a new contract offer and walked off the job on Sept. 13. Jefferies aerospace analyst Sheila Kahyaoglu estimated a 30-day strike would cost the struggling aerospace giant $1.5 billion, ...
