Boeing announced plans to cut 5% of its commercial airplane workforce due to slower-than-expected production ramp-up. This reduction will occur through attrition and layoffs, as stated by Stephanie Pope, head of the commercial aircraft unit. The company is currently focused on stabilizing production rates for its 737 Max planes, which are manufactured outside Seattle.
CEO Kelly Ortberg indicated that significant increases in production won't happen until the second half of next year, primarily due to delays in wing production. Pope emphasized that the adjustments in production schedules have led to an overstaffed situation, necessitating the workforce reduction.
Boeing aims to reach a production rate of 52 planes per month by the second half of 2027, while currently trying to stabilize output at approximately 47 planes per month. This workforce reduction may impact Boeing's ability to meet future production targets and maintain its competitive edge in the commercial aviation market