Takeaways NEW
- The job cuts mainly affect engineering teams and production departments.
- Boeing plans to cut a total of 17,000 jobs worldwide, including 2,200 in the USA.
Boeing plans to cut over 2,200 jobs in the U.S. states of Washington and Oregon. This drastic measure is part of a larger plan by the debt-laden aircraft manufacturer to cut 17,000 jobs worldwide — equivalent to 10% of the total workforce. The affected employees have already been informed that they will remain on the payroll until January 17th to comply with legal notice period requirements. As expected, the company sent out the Worker Adjustment and Retraining Notification (WARN) in November. Another round of layoffs is anticipated for December. Despite assurances from the new CEO Kelly Ortberg not to decimate the production and engineering teams, the cuts have severely impacted hundreds of employees in these areas. Particularly affected are 438 members of the Society of Professional Engineering Employees in Aerospace (SPEEA), including 218 engineers and 220 technicians. The International Association of Machinists and Aerospace Workers (IAM) in St. Louis also reported that 111 members, primarily engaged in manufacturing parts for the 777X, have received their notices. Within the company, layoffs vary significantly between different departments. Some teams were nearly entirely laid off, while only individual employees were affected in other areas. The loss of these positions means a significant extra burden for the remaining workforce. However, a former Boeing employee sees this as an opportunity to rid the company of unproductive forces. Concurrently with these structural adjustments, Boeing is striving to boost production of the highly demanded 737 MAX again. This was previously interrupted by a weeks-long strike that brought the production of most commercial jets to a halt.
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