Boeing to lay off over 2,500 workers in the U.S.

Boeing has announced layoffs affecting over 2,500 workers across four US states as part of its broader plan to reduce its global workforce by 17,000 positions, representing 10% of its total employees. The cuts primarily impact workers in Washington State, where approximately 2,200 notices were issued, with additional layoffs in Oregon, South Carolina, and Missouri.

The affected employees include engineers, technicians, and non-union workers. The Society of Professional Engineering Employees in Aerospace reported that 438 of their union members received notices, split between 218 engineers and 220 technicians. In St. Louis, 111 members of the International Association of Machinists and Aerospace Workers, mostly involved in 777X wing component production, were also affected.

The layoffs come as Boeing attempts to restart production of its 737 MAX aircraft following a lengthy strike by 33,000 US West Coast workers that significantly disrupted commercial jet production. While new CEO Kelly Ortberg had previously stated the company didn't intend to remove people from production or engineering labs, the reality has proved different.

Affected employees will remain on Boeing's payroll until January to comply with federal 60-day notice requirements. Another round of layoffs is expected in December, with the company also considering workforce attrition, selective hiring, and subsidiary sales to achieve its reduction targets.

This restructuring occurs as Boeing faces significant challenges, including a $6 billion quarterly loss and mounting debt. The company's struggles have been compounded by safety concerns following fatal crashes in 2018 and 2019, and recent technical incidents. Boeing's stock closed at $143.87 on November 18, up 2.6%.