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Boeing has sent layoff notices to more than 400 members of its Professional Aerospace Labor Union. The company is currently grappling with financial crisis, regulatory challenges and an eight-week machinists union strike. Affected employees will remain on the payroll until mid-January.
Boeing announced in October that it planned to cut 10% of its workforce (about 17,000 jobs) in the coming months. CEO Kelly Ortberg told employees that the company must reset its workforce levels to reflect our financial reality.
Union said- 438 members were affected
- Society of Professional Engineering Employees in Aerospace (SPEEA) union said – 438 members have been affected.
- Of the 438 workers affected, 218 are members of SPEEA's professional units, which include engineers and scientists.
- Apart from these, there are members of the technical unit, which includes analysts, planners, technicians and skilled trade people.
- Eligible employees will receive career transition services and subsidized health care benefits for three months.
- The local chapter has 17,000 Boeing employees. Mostly Washington based. Some are in Oregon, California and Utah.
Company in financial crisis, production rate slowed down
In January, the emergency exit door of Alaska Airlines' Boeing 737-9 Max flight broke at an altitude of 16.32 thousand feet and flew into the air. Boeing, based in Arlington, Virginia, is in financial and regulatory trouble following the incident. The production rate has slowed down.
The picture is of Boeing 737 Max plane. After takeoff, its door flew into the air, after which it had an emergency landing.
Boeing 737 Max aircraft has crashed several times
Boeing manufactured the 737 Max aircraft in 2015. The Federal Aviation Authority (FAA) approved it in 2017. Since then it has become the most used aircraft in the world. In 2018, this plane crashed for the first time while flying under Indonesian airline. About 189 people had died then.
After this, another Boeing 737 Max plane crashed in March 2019. 157 people died in this. Three days later, the FAA banned the flight of this plane. In 2021, Boeing paid a fine of $2.5 billion to the US Justice Department.
