Boeing Co.’s CEO said Wednesday that the company will begin furloughing “a large number” of employees to conserve cash during the strike by union machinists that began last week. CEO Kelly Ortberg said the layoffs would be temporary and affect executives, managers and other employees at the company, which employs about 3,000 people in San Antonio. About 33,000 Boeing factory workers in the Pacific Northwest began a strike Friday after rejecting a proposal to raise pay by 25% over four years.
Boeing factory workers go on strike after overwhelmingly rejecting contract offer The furloughs are expected to affect tens of thousands of Boeing employees. Ortberg said they will be furloughed for one week every four weeks and he and other senior executives will take pay cuts for the duration of the strike. In San Antonio, Boeing is easily the largest employer at Port San Antonio and one of the largest in the city.
Boeing buys naming rights for Port San Antonio’s concert and esports venue “However, with production paused across many key programs in the Pacific Northwest, our business faces substantial challenges and it is important that we take difficult steps to preserve cash and ensure that Boeing is able to successfully recover,” he said. Boeing’s chief financial officer had warned employees earlier this week that temporary layoffs were possible. The company, which is based in Arlington, Va.
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