Boeing Will Cut 17,000 Jobs in Bid to Slash Costs

Published On Oct 11, 2024, 4:43 PM

Boeing's new CEO, Kelly Ortberg, announced a 10% reduction in the workforce, equivalent to about 17,000 jobs, to restructure the company and cut costs amidst ongoing production challenges and a significant strike by its largest union. Ortberg highlighted the company's need for critical changes to enhance competitiveness and address the longstanding financial difficulties that have plagued Boeing since 2018, when it last posted an annual profit.

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The significant workforce reduction and restructuring may initially result in operational disruptions, especially as Boeing navigates a costly strike. However, if the restructuring succeeds, it could lead to improved efficiencies and quality in production, potentially benefiting long-term competitiveness and profitability.

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