Boeing Faces Risk by Jettisoning Workers in Tight Labor Market

The aerospace giant is laying off workers amid a production slowdown, while its rivals are ramping up hiring.

Boeing is cutting its workforce by 15,000 jobs, or about 10% of its total workforce, as it grapples with production delays and a slowdown in demand for its planes. The layoffs are expected to be completed by the end of 2023.

The move comes as Boeing's rivals, Airbus and Embraer, are ramping up hiring. Airbus plans to hire 13,000 workers this year, while Embraer plans to hire 1,500 workers.

Boeing's layoffs are a sign of the challenges facing the aerospace industry. The industry has been hit hard by the COVID-19 pandemic, which has led to a sharp decline in air travel. The war in Ukraine has also disrupted the global supply chain, making it difficult for Boeing to get the parts it needs to build planes.

Boeing's layoffs are also a sign of the company's own problems. The company has been plagued by production delays and quality problems in recent years. The 737 MAX, Boeing's best-selling plane, was grounded for 20 months following two fatal crashes. The company has also had problems with its 787 Dreamliner, which has been delayed by several years.

Boeing's layoffs are a major blow to the Puget Sound region, where the company is headquartered. The layoffs will affect workers in Washington state, California, and South Carolina.

Boeing's decision to lay off workers is a risky move. The company is already facing a shortage of skilled workers. The layoffs could make it even more difficult for Boeing to attract and retain the workers it needs to build planes.

Boeing's rivals are taking advantage of the company's problems. Airbus and Embraer are ramping up hiring, and they are poaching workers from Boeing.

Boeing needs to address its production problems and quality issues if it wants to remain competitive. The company also needs to find a way to attract and retain skilled workers. If Boeing can't do these things, it could lose market share to its rivals.