Boeing will axe its workforce by a tenth – cutting 17,000 jobs – and delay production as the airplane maker deals issues across its business.
Chief executive Kelly Ortberg said in an email to staff that “executives, managers, and employees” jobs are all at risk.
The business also warned of losses in its weapons and military equipment manufacturing arm and pushed back the delivery date of its 777X plane.
The news comes as the business grapples with staff striking and mounting concerns around the quality of its planes.
Mr Ortberg said in the email that the company will reduce its headcount “over the coming months”.
“Next week, your leadership team will share more tailored information about what this means for your organization,” he said, adding that it will not proceed with the next cycle of furloughs.
“The state of our business and our future recovery require tough actions,” said Mr Ortberg.
As well as cutting jobs, the company is also delaying production of its 777X due to “the challenges we have faced in development, as well as from the flight test pause and ongoing work stoppage”, a possible reference to the ongoing strike that has been going on for several weeks.
“We have notified customers that we now expect first delivery in 2026,” he said.