Keystone-SDA
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October 12, 2024 – 02:01
(Keystone-ATS) In the midst of a strike at Boeing, the struggling American aircraft manufacturer will reduce its global workforce by around 10% in the coming months, which is expected to affect nearly 17,000 people. Downsizing should help overcome financial problems.
In two separate messages, the aircraft manufacturer announced on Friday the postponement of deliveries of its new wide-body 777X, the cessation of production of the 767 freighter in 2027, and warned that its third quarter results would be weighed down by heavy loads. due, in particular, to the strike of more than 33,000 workers since mid-September.
Boeing Chief Executive Kelly Ortberg said the company needed to “redefine our workforce to match our financial reality.”
Almost at a standstill
The strike at Boeing in the Pacific Northwest region around the American metropolis Seattle began in mid-September. Due to work stoppages, assembly of the Boeing 737 Max and 777 is virtually at a standstill.
On Tuesday, Boeing suspended discussions with the IAM union and withdrew its offer. Workers have presented “non-negotiable demands that go far beyond what can be accepted,” according to the group.
The union had previously rejected a new offer from the company, which included, among other things, a 30% salary increase, higher bonuses and improvements in pension contributions. The IAM wants to obtain 40% for staff and the reintroduction of pension systems.
Boeing is not only in financial difficulty because of the strike, however. Before the industrial dispute, the aircraft manufacturer already had numerous problems, which also concerned the safety of its machines.
