Boeing to announce 2,500 voluntary layoffs in initial phase
May 27, 2020
Washington D.C. [US], May 28 : With the coronavirus pandemic taking a toll on the global economy, Boeing Co will this week announce about 2,500 voluntary layoffs in the first phase of broader cuts, reported The Wall Street Journal, citing Union Officials.
According to the report, the company executives said last month that Boeing planned to shed about 10 per cent of its global workforce this year. As per Union Officials, the initial wave of lay-offs was focused Seattle-area commercial planes operation and could be announced as early as on May 29.
Apart from this, the company is also expected to cut jobs at its services arm as well as at its central corporate offices, executives said last month, reported WSJ.
Boeing is halving output of its 787 twin-aisle jet. It also plans to resume only limited production of its 737 MAX jetliner this quarter.
The Journal, citing a Union official, reported that as many as 1,300 members of Society of Professional Engineering Employees in Aerospace, applied for the company's voluntary layoff package and were accepted.
The company last month said that it planned to lay off around 230 workers at a facility in Australia's Melbourne with similar reductions elsewhere in the country and New Zealand.
However, the company has also rejected some applications for voluntary separation from staff members working on defence programs, reported The Wall Street Journal.
As the COVID-19 spreads through the world, most of the countries have globally imposed severe travel restrictions, adversely affecting global air travel.
