More than 4,000 Boeing workers in Britain are facing uncertainty as the US aerospace giant prepares to cut 17,000 jobs globally, around 10% of its workforce.
Boeing’s UK operations, including its only European manufacturing facility in Sheffield, could be affected by the sweeping job cuts as the company grapples with financial challenges.
Boeing’s UK workforce is spread across 30 locations, with around half working on defense contracts, supplying helicopters such as the AH-64E Apache and aircraft such as the C-17 Globemaster. The company’s Sheffield site employs 125 people producing wing components for Boeing’s 737 aircraft, while Boeing Global Services operates maintenance facilities at Gatwick Airport.
Boeing CEO Kelly Ortberg announced the job cuts Friday, citing ongoing financial problems exacerbated by production delays and worker strikes. Regulators also slowed Boeing’s production after a door panel incident on a 737 Max plane earlier this year. The crisis worsened after 33,000 workers in Seattle went on strike over wage disputes, further halting production.
Ortberg said: “Recovering our business will require difficult decisions, and we will need to make structural changes to ensure we remain competitive.” In addition to the job losses, Boeing has postponed the launch of its 777X jet until 2026 and will end production of its 767 freighters by 2027.
While the specific impact on British jobs remains unclear, sources suggest job losses could be concentrated in the US. Hypothetically, around 400 British workers could be affected if Boeing applies the cuts proportionately. However, Boeing has yet to formally inform its British employees about the consequences for them.
The financial pressure on Boeing has led to increasing pressure from airline customers including Ryanair, which had to cut its passenger forecasts due to delayed aircraft deliveries. Credit rating agency S&P has put Boeing on “negative” watch, raising the possibility that its debt will be downgraded to junk status.