Boeing To Cut More Than 12,000 Jobs In The United States

Boeing has told employees that it will slash almost 12,300 U.S. jobs in the first batch of cuts to survive this economic crisis.


Boeing To Cut More Than 12,000 Jobs In The United States
Boeing to cut jobs in the United States Photo: Boeing

Boeing also said that the first set of almost 7,000 employees will receive layoff notices this week, beginning the involuntary layoffs in the United States.


Out of 12,300 cuts more than 5,500 voluntary buyouts are also added. However, this number may increase as Boeing previously said 16,000 job cuts may be necessary. 

This job cuts were announced in a message to all the employees on 27th of May. Boeing confirmed that it would start to inform those affected employees this week.


Boeing To Cut More Than 12,000 Jobs In The United States
Some of the employees will be informed this week Photo: Boeing


In a communication with Boeing employees, Boeing CEO David Calhoun said:

"We have come to the unfortunate moment of having to start involuntary layoffs. We're notifying the first 6,770 of our US team members this week that they will be affected."

According to The Seattle Times, this job cuts will hit the Washington state worst, with 9,840 jobs cut in the state by July 31st.


Boeing To Cut More Than 12,000 Jobs In The United States
Washington state will be hit by the job cut mainly Photo: Boeing

Mr Colhoun further said that Boeing would support all those affected providing severance pay to them along with COBRA heath care coverage and career transition services.

Regarding its international workforce reductions, Boeing CEO said:

"Our international locations also are working through workforce reductions that will be communicated locally on their own timelines in accordance with local laws and benefit terms."


Boeing To Cut More Than 12,000 Jobs In The United States
International employees may also be affected. Photo: Boeing


He also said that the spread of COVID-19 on the airline industry translates into a deep cut in the number of commercial jets and services our customers will need over next few years. which means fewer jobs on our lines and in our office.

"I wish there were some other way," he added in an email sent to employees.

In April, Boeing announced that its customers cancelled more than 100 orders for the 737 MAX and also said that it had received no new reservations.


Boeing To Cut More Than 12,000 Jobs In The United States
Boeing resumed 737 MAX production this week. Photo: Boeing


Boeing said it had resumed production of its troubled Boeing 737 MAX at its Renton, Washington Factory at a "low rate".

Do you think Boeing will hire them again once this crisis is over? Feel free to share your thoughts in the comments below:

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