In an effort to streamline its corporate operations, Boeing will cut its personnel by around 2,000 in the coming months.
400 employees in Human Resources and approximately 1,500 in the Financial Department would be affected by the cuts (HR).
The Seattle Times first reported the layoffs, and a Boeing representative later confirmed the information to the newspaper.
Allowing managers to use automation to compile data reports, for instance, is one way that the Original Equipment Manufacturer (OEM) hopes to streamline procedures and eliminate some responsibilities.
A third of the 2,000 positions that will be lost as a result of the layoffs will be outsourced to Tata Consulting Services (TCS), an Indian consultancy with more than a dozen customer-facing products and solutions.
Boeing has 156,000 employees as of Q4 2022, 13% of whom were based outside of the United States. The corporation had 142,000 employees by the end of 2021, 12% of them were based outside of the US.
Boeing has kept adding production workers, especially since it plans to increase the number of airplanes delivered in the upcoming years.
In 2022, for instance, the OEM produced 31 737 MAX airplanes each month. By 2025–2026, it expects to produce about 50 of the same aircraft. In addition to the other three lines in Renton, Washington, it will replace the departing 747 assembly line with a 737 one.
As of Q1 2019, Boeing produced 52 737 MAX jets per month, before the COVID-19 epidemic and the grounded aircraft, which decreased demand for aircraft.
The company also plans to improve the 787’s output, which is now falling short of its goal of five units per month. Once the 777X-9 has been certified, production of that model will eventually resume.
