Boeing Co's commercial airplanes unit said on Monday it would reduce its workforce in 2017, adding to the about 8 percent jobs the company has cut since the beginning of 2016. The company is offering a voluntary layoff program in early 2017, adding that involuntary layoffs may occur in some cases, Boeing Commercial Airplanes (BCA) said in an internal memo. This year's job cuts include a 10 percent reduction of executives and managers.
BCA said it would focus on reducing non-labour costs next year amid a tough competitive environment for its aircraft business.
Boeing said last week that it would cut production of its twin-aisle 777 jetliner to five a month in August 2017, a 40 percent reduction from the current rate of 8.3 a month, as it spends more to produce new models.
A spokesman for the division said that employees participating in the voluntary layoff program will receive a lump sum payment of one week's pay for each year served, for a maximum of 26 weeks.