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Spirit AeroSystems announces additional temporary layoffs amid ongoing changes

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Spirit AeroSystems announces additional temporary layoffs amid ongoing changes
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Spirit AeroSystems | Official Website

Spirit AeroSystems has announced a new round of temporary layoffs affecting 250 to 300 employees for two to three weeks. This comes after similar furloughs last month, which were due to surplus parts production on two Boeing 737 programs. Some of the previously affected workers may be impacted again.

The company is a key subcontractor in Boeing's 737 MAX program, responsible for producing fuselages. Recent improvements have increased Spirit's monthly production from 21 to 31 fuselages, though this still falls short of the target of 38 per month.

Spirit shareholders approved an acquisition by Boeing following its announcement in summer 2024. Irene Esteves, Spirit's Chief Financial Officer, stated: "Our shareholders' resounding approval today represents an important milestone in our carefully planned merger with Boeing."

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The acquisition will lead Spirit to divest Airbus-related facilities and focus on simplifying operations within the Boeing supply chain. Esteves noted the agreement with Airbus as a "significant milestone" towards completing the acquisition by Boeing.

As part of its operations, Spirit AeroSystems constructs over 70% of the Boeing 737 Next-Generation aircraft components and is also involved in defense contracts and the 787 Dreamliner program. The recent layoffs are attributed to accumulated surplus inventory during issues faced by the MAX program. With plans for increased production, these furloughs may become unnecessary.

Future developments will depend on how quickly Boeing can ramp up deliveries, particularly following tariff relief that allows renewed deliveries to China.

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