Boeing to Cut 17,000 Jobs, Shares Decline Amid Losses and Strike

Oct 11, 2024, 08:39 PM

Boeing announced plans to cut 10% of its global workforce, amounting to approximately 17,000 jobs, as the company grapples with mounting losses and a prolonged machinist strike. The aerospace giant also reported a preliminary Q3 loss, with expected revenue of $17.8 billion and a loss per share of $9.97. Boeing's CEO Kelly Ortberg highlighted the significant challenges facing the company, including a $5 billion charge from its Commercial Airlines and Defense programs. Additionally, the first delivery of the 777X jet has been delayed until 2026, and the production of 767 freighters will end in 2027. The company aims to reset priorities for future competitiveness amid these setbacks. Substantial losses are expected in Boeing Defense, Space & Security (BDS) this quarter. The work stoppage has compounded these issues, with the strike now entering its fifth week. Boeing's shares have declined by 2.9% in after-hours trading.