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Boeing started laying off 17,000 people, sent a notice to hundreds, know what the problem is

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Boeing started laying off 17,000 people, sent a notice to hundreds, know what the problem is
Photo: ARCHIVE Boeing

Boeing has sent layoff notices to more than 400 members of its professional aerospace workers union. This is part of a plan to lay off thousands of people as the company struggles to overcome financial and regulatory problems. In addition, the eight-week strike of its machinists’ union is also a reason for this. Last week, layoff notices (pink slips) were sent to members of the Society of Professional Aerospace Engineering Employees (SPEEA), The Seattle Times reported. Employees will receive their salaries in mid-January.

Boeing to lay off 17,000 employees

Boeing announced in October that it planned to reduce its workforce by 10 percent, or about 17,000, in the coming months. The company’s chief executive officer (CEO), Kelly Ortberg, told employees that the company will have to readjust its staffing levels according to its financial reality. SPEEA said 438 members were affected by the layoffs. The union’s local chapter represents 17,000 Boeing workers based primarily in Washington, with some in Oregon, California and Utah. Of those 438 employees, 218 are members of the SPEEA professional association, which includes engineers and scientists. The rest are members of the technical unit, which includes analysts, planners, technicians and qualified professionals.

Company suffered losses due to strike

Eligible employees will receive career transition services and subsidized healthcare benefits for up to three months. Employees will also receive an allowance, which is typically approximately one week’s pay for each year of service. After the strike, unionized Boeing machinists began returning to work this month. The strike affected Boeing financially. But in a call with analysts in October, Ortberg said that did not lead to layoffs.

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