In a message to employees, Boeing President and CEO Kelly Ortberg has announced that the company is reducing the size of its total workforce by 10 percent. That means Boeing is cutting roughly 17,000 jobs, including executives and managers, over the coming months. Ortberg, who only took the helm back in August, explained that the company has to “make structural changes” to ensure it can “stay competitive” and deliver for its customers over the long term.
Ortberg announced the upcoming layoffs in the midst of a machinist strike that had shut down production in most of Boeing’s plants, including the ones manufacturing its best-selling plane, the 737 Max. Around 33,000 union machinists are involved in the strike, which has been going on since mid-September. As AP explains, that’s had a big impact on Boeing’s pockets, since it gets paid for half of what a plane costs after it delivers a customer’s order.
In addition to the layoffs, Ortberg announced that Boeing will delay the development of its 777X planes due to the challenges it has faced in development, along with the ongoing work stoppage. It now plans to deliver the new wide-body planes in 2026 instead of 2025.
Boeing