HUNTSVILLE, Ala. — Boeing plans to lay off 158 employees from Huntsville as part of its massive layoff effort announced in October.
According to a Worker Adjustment and Retraining Notification Notice released by the Alabama Department of Commerce, the notice was issued Nov. 15 but is not effective until Jan. 17. 2025.
Boeing provided the following statement regarding the layoffs:
“As previously announced, we are adjusting our workforce levels to align with our financial reality and a more focused set of priorities. We are committed to ensuring our employees have support during this challenging time.”
Boeing plans to cut about 10% of employees nationally, which is about 17,000 employees, in the coming months, citing financial and regulatory struggles.
Eligible employees will receive severance pay, career transition services, and subsidized health care benefits up to 3 months after exiting the company, according to Boeing. Reductions include attrition and concentrating backfills for open positions on business-critical priorities.
The Associated Press previously reported that Boeing’s unionized machinists began returning to work earlier this month following the strike.
The strike strained Boeing’s finances. But CEO Kelly Ortberg said on an October call with analysts that it did not cause the layoffs, which he described as a result of overstaffing.
Boeing, based in Arlington, Virginia, has been in financial trouble since two crashes of its 737 Max jetliner killed 346 people in 2018 and 2019. The company's fortunes and reputation took a further hit when a panel blew off the fuselage of an Alaska Airlines plane in January.
Production rates slowed to a crawl, and the Federal Aviation Administration capped production of the 737 MAX at 38 planes per month, a threshold Boeing had yet to reach when the machinists' strike halted assembly lines.