SEATTLE -- Despite some big orders from airlines and an expected $16 billion deal with the U.S. Air Force, The Boeing Co. said Thursday it needs to further slash its work force to weather the worst downturn in commercial aviation history.
The Chicago-based aerospace manufacturer plans to cut 4,
000 to 5,000 more jobs than it previously planned from its Commercial Airplanes division, headquartered in the Seattle suburb of Renton, by the end of the year.
The cuts, which will come through attrition and layoffs, mean that by the end of 2003, Boeing will have slashed 40,000 positions in just over two years.
The reductions continue the deepest two-year cut in employment for the aerospace manufacturer since the late 1960s and early 1970s, when a billboard in Seattle famously asked "Will the last person leaving Seattle -- turn out the lights." Most of the jobs now being eliminated are in the Puget Sound region, where Boeing builds all but one of its commercial jets.
"This is an unprecedented and very difficult time for all of us in the commercial aviation business," said Boeing executive Alan Mulally in an e-mail sent to employees. "While we are optimistic about the long-term outlook for the industry, many of our airline customers continue to face significant challenges. ..."