Covid-19 continues to take a toll on the aviation industry with Spirit AeroSystems, a supplier to both Boeing and Airbus, announcing that it would lay off 1,450 employees as a result of the decline in demand for new airplanes due to the ongoing crisis.
“All indications right now tell us this lower demand for new commercial airplanes is likely to last for several years,” president and CEO Tom Gentile said in an email to employees. “As a result, we have to adjust Spirit’s production levels and employment to match the reduced demand from our customers. These reductions will include represented and non-represented positions at all levels of the organization – hourly, salary, management and executive positions at all our commercial program sites.”
Affected employees will start leaving on May 15 but some “may be asked to work during this 60 day period to provide cross training.” Employees working on the defense side will not be affected.
“In fact, our defense programs have played an important role while Spirit’s commercial business was first impacted by the grounding of the 737 MAX and now by the COVID-19 pandemic,” said Gentile. “Our defense business has continued to generate revenue for the company and additional work that has created job opportunities for employees.”
A reduction in the strength of the workforce in other sites is also likely. “Spirit’s global sites are reviewing workforce requirements and will announce their plans in the coming weeks,” the email said.
It may be recalled that Spirit had announced layoffs of about 2,800 employees earlier this year as a result of the continued grounding of the Boeing 737 Max.
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