Boeing to Cut Over 2,200 Jobs in Washington and Oregon Amid Global Workforce Reduction

Boeing announced plans to lay off over 2,200 workers in Washington and Oregon as part of a broader strategy to reduce its global workforce by 17,000 jobs—10% of its total. Grappling with debt pressures, the aerospace giant began notifying employees of their impending terminations last week.

Affected workers will remain on Boeing’s payroll until January 17, 2025, in compliance with federal Worker Adjustment and Retraining Notification (WARN) requirements, which mandate 60 days’ notice. While the layoffs were anticipated following CEO Kelly Ortberg’s October statement, the full scope and implications are now becoming evident. Another wave of WARN notices is expected in December.

Union and Worker Responses

The Society of Professional Engineering Employees in Aerospace (SPEEA) reported that 438 union members received layoff notices, including 218 engineers and 220 technicians. Similarly, the International Association of Machinists and Aerospace Workers (IAM) District Lodge 837 confirmed notices for 111 members, many of whom manufacture components for the 777X.

Non-union employees were also affected, with some teams seeing substantial reductions. Reports indicate significant cuts in support roles within Boeing Defense, Space & Security, with some employees concerned about the increased workload for remaining staff. Others, however, viewed the layoffs as an opportunity for the company to address inefficiencies and non-essential roles.

Production Challenges

The layoffs coincide with Boeing’s efforts to resume production of its top-selling 737 MAX, following a lengthy strike by more than 33,000 West Coast workers that disrupted commercial jet manufacturing. Despite the cuts, Boeing emphasized its commitment to maintaining production and engineering capabilities. However, the loss of experienced personnel raises concerns about the potential impact on efficiency and innovations.

Stock Reaction

Despite the workforce upheaval, Boeing’s stock rose 2.7% to $143.90 on Monday afternoon, suggesting investor confidence in the company’s restructuring efforts.

Looking Ahead

As Boeing implements these workforce reductions, questions loom over the long-term effects on its manufacturing hubs and global operations. Industry analysts and stakeholders are keenly awaiting December’s WARN notices for further clarity on the company’s strategy and direction.