Boeing Cuts Its Workforce Due To The Coronavirus Crisis

On a day the Commerce Department reported that the U.S. economy shrank 4.8% in the first quarter, ending a record long expansion, a company that usually represents American economic might has bad news, as well. Boeing reported a $641 million loss for the first quarter and announced it will be cutting back airplane production and eliminating thousands of jobs. The aerospace giant will reduce the size of its global workforce by 10%, eliminating about 16,000 jobs as the company adjusts to nearly nonexistent demand for air travel in the wake of the deadly coronavirus pandemic. “This virus is a body blow to the aviation industry,” Boeing CEO David Calhoun said during a conference call with journalists Wednesday, in which he outlined the severe impact the coronavirus has had on air travel. The airplane manufacturer was already reeling from the year long grounding of its 737 Max airplane and the coronavirus pandemic has just added to the misery. The number of people flying is down more than

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Author: WGCU Public Media