Boeing to cut 5pct of commercial jet workforce amid production struggles
SEATTLE: Boeing Commercial Airplanes plans to cut five per cent of its workforce as it struggles to increase jetliner production, the division's chief, Stephanie Pope, told employees on Monday in an internal memo.
Boeing Commercial Airplanes plans to reduce its commercial jet workforce by five percent due to production challenges, according to an internal memo from the division's chief Stephanie Pope. The company needs more time to stabilize production at its factories and supply chain partners, which has caused it to fall behind on its 737 jetliner production and delivery targets.
Boeing CEO Kelly Ortberg expects the company to only reach 47 jets produced per month by early 2027, a year later than initially projected. The company also anticipates reaching $10 billion in free cash flow a year later than expected, in 2029. Boeing's 737 narrowbody jet is its primary revenue generator, making increased production crucial for financial recovery. The Seattle-based division currently employs 50,494 people.
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