Boeing to lay off 10% of workforce as machinist strike cripples airplane production

US aviation giant Boeing plans to lay off about 10 percent of its workers in the coming months, about 17,000 people, as it projected a large third-quarter loss after a nearly month-long strike by 33,000 of its workers slowed production and caused executives to delay delivery of its 777X jet to 2026, adding to the company's litany of problems.

Boeing announced that it plans to cut 10 percent of its workforce as it projected a large third-quarter loss amid a machinist strike in the Seattle region.

The aviation giant must "reset our workforce levels to align with our financial reality," Chief Executive Kelly Ortberg said on Friday, adding that the cuts of 17,000 positions globally "will include executives, managers and employees."

The company announced a series of belt-tightening measures and production delays as the nearly monthlong strike of 33,000 workers has added to the company's litany of problems.

Boeing staff with the International Association of Machinists (IAM) and Aerospace Workers walked off the job on September 13 after overwhelmingly rejecting a contract offer.

IAM officials did not immediately respond to a request for comment from AFP.

"These decisive actions, along with key structural changes to our business, are necessary to remain competitive over the long term."

Details of the cuts would come next week, he said.

The IAM strike, meanwhile, has halted activity at two Seattle-area assembly plants.


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