Boeing to lay off over 2,500 workers in US as part of sweeping cuts

MONTREAL - Boeing will lay off more than 2,500 workers in the US states of Washington, Oregon, South Carolina and Missouri, as part of the debt-heavy US planemaker’s plan to cut 17,000 jobs, or 10 per cent of its global workforce.

Nearly 2,200 layoff notices went to workers in Washington and another 220 in South Carolina, the two states where Boeing builds commercial airliners. Boeing declined to comment on the layoffs on Nov 18.

Another round of layoffs is expected in December. Boeing could also use workforce attrition, selective hiring and sales of subsidiaries to reduce workforce.

Boeing shares gained 2.6 per cent to close at US$143.87 (S$191) on Nov 18.

In October, Boeing’s new chief executive, Kelly Ortberg, said the company does not intend to “take people off production or out of the engineering labs.” However, several hundred engineers and production workers were among those who received pink slips.

The Society of Professional Engineering Employees in Aerospace said 438 of the union’s members at Boeing received layoff notices last week, including 218 engineers and 220 technicians.

The International Association of Machinists and Aerospace Workers (IAM) District Lodge 837 in St. Louis said Boeing sent notices to 111 members, most of whom made wing components for the 777X.

The layoff notices come as Boeing tries to restart production of its strongest-selling 737 Max, after a weeks-long strike by more than 33,000 US West Coast workers halted output of most of its commercial jets. 

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