The U.S.-based aviation giant Boeing has announced plans to reduce its workforce by 10% due to challenging financial conditions and production delays. In a message to employees, Boeing CEO Kelly Ortberg emphasized that structural changes are unavoidable for the company to remain competitive in the long term and to meet customer demands.
Ortberg highlighted the development difficulties in Boeing’s 777X program, pauses in flight testing, and ongoing strikes, all of which have disrupted the delivery schedule. He informed customers that the first delivery of the 777X has been delayed until 2026. Additionally, Boeing aims to complete the remaining 767 cargo aircraft orders by 2027, while continuing the production of KC-46A tankers.
17,000 Employees to Be Affected
Ortberg stated that Boeing needs to realign its workforce based on the company’s priorities, which will result in a 10% reduction in staff over the coming months. He clarified that the layoffs would include managers, supervisors, and employees, and assured that the process would be carried out transparently. U.S. media reports indicate that these layoffs will affect around 17,000 Boeing employees.
After factory workers went on strike last September, Boeing had already frozen hiring, halted travel, and suspended non-essential expenditures as part of its cost-cutting measures.
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