Boeing stock was among the few bright spots in the Dow Jones Industrial Average early Tuesday as the airplane manufacturer began earlier announced sizable cuts to its workforce.
Boeing will lay off more than 2,500 workers in Washington, Oregon, South Carolina and Missouri, Reuters reported Tuesday, citing federal employment filings and a union official. The aerospace manufacturer sent nearly 2,200 layoff notices to workers in Washington and another 220 to South Carolina, two states where Boeing builds its commercial airlines.
The layoff filings come after Boeing on Oct. 11 announced plans to cut 17,000 jobs — roughly 10% of its workforce — in order to reduce costs amid its machinist union strike.
Boeing and its union members on Nov. 4 ended the seven-week strike after reaching an agreement for a 38% pay hike, among other benefits. The 33,000 striking employees were required to return to work by Nov. 12.
Boeing posted a $6.2 billion net loss for Q3 as it contended with delivery delays and quality control issues compounded by the strike. The Dow Jones plane maker on Oct. 15 secured a $10 billion credit agreement with multiple banks and filed to raise $21 billion to plug its cash drain.
Boeing Stock
Boeing stock climbed 1.2% Tuesday, marking a third consecutive daily gain.
BA shares were among just a handful of advancing issues on the Dow Jones Industrial Average, with more than half closing down on the day. Nvidia popped 4.8% Tuesday to lead the Dow, followed by Walmart with a 3% jump after its Q3 earnings beat.
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