RENTON, WA—Boeing has announced layoffs totaling 17,000 workers across the company, with 2,200 already impacted in Washington State and 50 more planned in Portland, Oregon. The aerospace giant is cutting approximately 10% of its workforce due to financial difficulties stemming from two 737 Max crashes in 2018 and 2019, regulatory challenges, and a recent machinists' strike lasting nearly two months. The layoffs span all divisions—commercial airplanes, defense, and global services—and affect facilities in multiple states, including Washington, Missouri, Arizona, and South Carolina.
Despite the strike's financial strain, CEO Kelly Ortberg attributed the cuts to overstaffing. Before the latest notices, Boeing employed 66,000 workers in Washington, where over 400 unionized engineers from SPEEA will remain on payroll until mid-January. Production of the 737 Max has slowed significantly, with the FAA capping output at 38 planes per month. Boeing, headquartered in Arlington, Virginia, continues to face operational and reputational challenges, including a recent fuselage panel failure on an Alaska Airlines plane.