Boeing mulling plan to cut 10% workforce: Report

Reading Time: < 1 minute

Washington, April 10 (IANS) US airplane giant Boeing was mulling a plan to cut about 10 per cent of its workforce amid the fallout caused by the COVID-19 pandemic, according to a media report.

The plan, which could include buyouts, early retirements and involuntary layoffs, were expected to mostly target the company’s commercial arm, since turmoil in the global airline industry has put the unit under immense strain, Xinhua news agency quoted the Wall Street Journal as saying in a report on Thursday.
No decisions on cuts have been made, with the potential 10 per cent decline in labour force still under consideration, according to the report.
Last week, Boeing announced it was initiating a voluntary layoff (VLO) plan to try to stem the financial strain from the pandemic.
“One thing is already clear: It will take time for the aerospace industry to recover from the crisis,” said Dave Calhoun, the company’s president and CEO, in a letter to employees.
“We are initiating a VLO plan that allows eligible employees who want to exit the company to do so with a pay and benefits package. This move aims to reduce the need for other workforce actions,” he added.
Boeing employs about 145,000 employees across the US and in more than 65 countries and regions, according to its official website.