Boeing cuts spending amid strike, considers furloughs
The Peninsula
New York: US aviation giant Boeing on Monday announced it was making serious spending cuts, including considering furloughs and implementing a hiring...
New York: US aviation giant Boeing on Monday announced it was making serious spending cuts, including considering furloughs and implementing a hiring freeze, as it responds to a factory worker strike in the northwestern United States.
"Our business is in a difficult period. This strike jeopardizes our recovery in a significant way and we must take necessary actions to preserve cash and safeguard our shared future," said Chief Financial Officer Brian West in a message to employees.
Talks between Boeing and striking factory workers will resume Tuesday under a federal mediator, the union said, after workers voted overwhelmingly to reject a proposal from the embattled aviation giant.
The strike has shuttered two major plane assembly plants for the 737 MAX and 777 in the Puget Sound region, further delaying the financially stressed company's turnaround efforts.
On Monday, West said the company was taking the "necessary actions to preserve cash and safeguard our shared future."
