Boeing is laying off nearly 400 workers in Washington State as the aerospace giant continues to face operational challenges and restructuring within its workforce.
The notices affect employees at all levels, from those working in commercial airplane manufacturing to aerospace engineering.
It is the latest in a spate of layoffs Boeing has taken since it faced severe pressure, among other issues, because of the economy, delays in production, and variable demand within the aviation industry.
The impacted employees work at the company’s Everett and Renton plants, key facilities in the state that have been central to the production of the 737, 747, 767, and 787 aircraft.
Boeing said the cuts are part of a broader effort to make operations more efficient and size its workforce to the demands of the current market environment, including changes in air travel and aircraft production schedules resulting from the COVID-19 pandemic.
Though Boeing’s defense and space units show strong recovery, their commercial airplanes are still badly hurt.
The aerospace firm has dealt with delay concerns in the delivery of airplanes, disrupted supply chains, and a soft return in traffic to rebound as people are flying across the world again.
Due to this situation, adjustments needed to be made, laying off more workers as part of adjusting production to meet lower-than-anticipated demand.
The firings take place at a time when Boeing is experiencing stiff competition from rival aerospace manufacturers such as Airbus and is under immense pressure to cut operating costs and return to profitability.
The company has also offered laid-off employees assurances of adequate compensation as well as help in searching for new jobs. Still, the news has caused waves in the Washington aerospace community where Boeing still operated, setting up new assembly lines.
These latest lay-offs form part of a legacy of company downsizing at Boeing which has been experiencing various operational challenges, including the 737 MAX crisis, the COVID pandemic, and other operational losses.
However, Boeing has also declared that it will not abandon its strategic growth vision, and it will also not cease investing in new technologies, new products, and new strategic partnerships that would determine the company’s future growth.
