Boeing To Lay Off Nearly 10% Of Its Workforce

Boeing reportedly said on Friday that the company is cutting 10% of its workforce, or about 17,000 employees. The United States-based plane maker also warned of losses in its weapons and military equipment manufacturing arm and pushed back the delivery date of its 777X plane.

In a message to employees on Friday, Chief Executive Kelly Ortberg said that the reductions will include executives, managers, and employees. "We reset our workforce levels to align with our financial reality and to a more focused set of priorities. Over the coming months, we are planning to reduce the size of our total workforce by roughly 10%," Ortberg said in the message, as quoted by Reuters.

The development comes as the firm grapples with staff strikes. Reports indicate that about 33,000 workers at Boeing in Washington and Oregon began striking on September 13. According to The Guardian, the striking union of its west coast factory workers is seeking a 40% pay rise over four years and the restoration of a defined-benefit pension that was taken away in the contract a decade ago. Notably, more than 90% of workers voted down an offer of a 25% pay rise over four years before going on strike.