Lockheed's aeronautics unit to cut 540 jobs

The aeronautics unit of Lockheed Martin Corp, the Pentagon's No 1 supplier by sales, said on Monday that it would cut 540 jobs to reduce costs as defence spending comes under pressure. The involuntary layoffs are part of the unit's plan announced in June to cut about 1,500 jobs. Under that plan, more than 450 workers took voluntary layoffs, and the division also eliminated about 300 open positions. About 300 jobs were also cut in the sustainment services group.
The aeronautics unit, which produces the F-16 multi-role fighter jet, C-130 military transport aircraft and F-35 Joint Strike Fighter, said it expected the affected workers to depart by year end. The greatest job losses would be felt by larger sites in Fort Worth, Texas. The defence contractor has 126,000 workers world-wide, including 28,000 at aeronautics unit sites in the United States. Shares of Lockheed were up 1.8 percent at $73.39 in midday trading.