Close to 7,000 Boeing employees are losing their jobs this week, just a portion of the layoffs the aircraft manufacturer is planning as the virus devastates travel demand. More than 5,000 other Boeing employees are separating from the company voluntarily.
The Chicago-based company is planning to reduce 10% of its headcount, which numbered around 160,000, according to its 2019 annual report.
The virus has sapped demand for new jetliners and cancellations are piling up, depriving Boeing of much-needed revenue.
“I wish there were some other way,” CEO Dave Calhoun said. “For those of you who are notified, I want to offer my personal gratitude for the contributions you have made to Boeing, and I wish you and your families the very best.”
While air travel demand has perked up from lows hit in April it is still less than 20% of the norm.
