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Boeing announces layoffs affecting over 500 employees in Southern California

Boeing announces layoffs affecting over 500 employees in Southern California
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Airbus A380 | Airbus

New information has surfaced regarding Boeing's ongoing workforce reduction strategy, which will impact thousands of employees in the coming months. The aircraft manufacturer is downsizing its workforce as it attempts to recover from a challenging year marked by concerns over manufacturing quality, stringent FAA regulations, and a significant workers' strike.

Boeing is set to lay off more than 500 employees in Southern California. According to a report by The Orange County Register, the company will issue termination notices to 566 employees in the region, with all but 12 based in Southern California. Specific locations affected include Seal Beach with 179 layoffs, El Segundo with 144, Long Beach with 115, Huntington Beach with 57, and San Diego with 21.

A Worker Adjustment and Retraining Notification signed by Elizabeth French from Boeing's Exit Management was sent to California's Employment Development Department in mid-November. The letter detailed that most layoffs would take effect on or after January 17. Engineers, system analysts, technical designers, and project specialists are among those affected.

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The layoffs extend beyond California. In November, Simple Flying reported nearly 700 job cuts at Boeing's Defense, Space & Security division in Missouri. Reuters highlighted that Boeing issued 60-day notices to at least 3,100 U.S. workers across Washington, Oregon, South Carolina, and Missouri. This includes almost 2,200 notices in Washington and another 220 in South Carolina.

Boeing's defense department remains crucial for the company; however, its space division faces challenges. The Space Launch System is significantly over budget and the Starliner spacecraft recently failed to return astronauts from the International Space Station (ISS), leaving them stranded until SpaceX's Dragon 2 capsule retrieves them in February.

The labor union representing Boeing employees is closely monitoring these developments to ensure compliance with union contracts.

This year's difficulties for Boeing began with an incident involving Alaska Airlines that led to increased scrutiny from the Federal Aviation Administration and caused some major clients to seek alternatives for their aircraft needs. Former CEO Dave Calhoun resigned amid growing criticism and was succeeded by aerospace industry veteran Kelly Ortberg.

A mass strike by over 33,000 workers demanding better pay and benefits occurred between September and November. These recent layoffs are part of Boeing’s broader strategy to reduce its global workforce by approximately 10%, impacting around 17,000 employees as it seeks to manage debt and concentrate on core business areas.

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