Layoffs: Boeing Issues Job Cut Notices To Over 400 Employees As Firm Tries To Navigate Financial Issues

Boeing issued layoff notices to over 400 employees of its professional aerospace labour union as part of its planned job cuts. The manufacturer distributed pink slips last week to members of the Society of Professional Engineering Employees in Aerospace, or SPEEA, The Seattle Times reported.The manufacturer has been struggling with financial and regulatory problems which were enhanced by a strike by the Machinists union that lasted for eight weeks, reported AP. The workers that have been impacted by the recent job cuts will remain on payroll till mid-January, the report noted.Earlier in October, the company announced that it plans to let go of 10 per cent of its overall workforce which will impact 17,000 jobs in the coming months. At the time, CEO Kelly Ortberg informed the employees that the company must ‘reset its workforce levels to align with our financial reality’.Also Read : Debt Mutual Funds See Investment Worth Rs 1.57 Lakh Crore In Oct, See What HappenedThe reduction in jobs impacted 438 members of the SPEEA union. The local chapter of the union has 17,000 Boeing employees who are majorly based in Washington, while the rest are located in Oregon, Utah, and California.Out of these 438 employees, 218 were members of the professional unit of the union including engineers and scientists. The remaining are part of the technical unit including analysts, technicians, skilled tradespeople, and planners.The employees who are eligible will receive career transition services and health care benefits at subsidised rates for up to three months. These workers will also be entitled to receive severance, specifically for nearly one week of pay for every year of service.Notably, the strike by the Machinists union ended earlier this month as workers returned to work. The strike impacted the company’s manufacturing capabilities greatly, in turn, creating financial woes for the firm. Also Read : Markets Ahead: Investors To Keep A Watch On Global Trends, Inflation, PMI Data