Boeing to cut 17,000 jobs as losses deepen during factory strike
The post Boeing to cut 17,000 jobs as losses deepen during factory strike appeared on BitcoinEthereumNews.com.
Boeing 737 MAX airliners are pictured at the company’s factory in Renton, Washington, on Sept. 12, 2024. Stephen Brashear | AP Boeing will cut 10% of its workforce, or about 17,000 people, as the company’s losses mount and a machinist strike that has idled its aircraft factories enters its fifth week. It will also push back the long-delayed launch of its new wide-body airplane. The manufacturer will not deliver its still-uncertified 777X wide-body plane, which has customers that include Lufthansa and Emirates, until 2026, putting it some six years behind schedule. The company in August paused flight tests of the aircraft when it discovered structural damage in one of them. It will stop making commercial 767 freighters in 2027 after it fulfills remaining orders, CEO Kelly Ortberg said in a staff memo Friday afternoon. “Our business is in a difficult position, and it is hard to overstate the challenges we face together,” Ortberg said. “Beyond navigating our current environment, restoring our company requires tough decisions and we will have to make structural changes to ensure we can stay competitive and deliver for our customers over the long term.” Boeing expects to report a loss of $9.97 a share in the third quarter, the company said in a surprise release Friday. It expects to report a pretax charge of $3 billion in the commercial airplane unit and $2 billion for its defense business. In preliminary financial results, Boeing said it expects to have an operating cash outflow of $1.3 billion for the third quarter. The union late Friday called Boeing’s announcement to cease 767 freighter production “very troubling” and said it would review the implications. The job and cost cuts are the most dramatic moves to date from Ortberg, who is just over two months into his tenure in the top job, tasked with…
Filed under: News - @ October 14, 2024 11:26 am