---
title: "Boeing furloughs a ‘large’ number of employees during factory strike"
publisher: "Stockmark.IT"
author: "Stockmark.IT Website"
published: "2024-09-19T04:50:40+00:00"
modified: "2024-09-18T19:53:37+00:00"
date: 2024-09-19
canonical: "https://stockmark.it/boeing-furloughs-a-large-number-of-employees-during-factory-strike/"
category: "Jobs and Employment"
categories: ["Jobs and Employment"]
image: "https://i0.wp.com/stockmark.it/wp-content/uploads/stencil.default-2024-09-18T205246.440.jpg?fit=1200%2C800&quality=89&ssl=1"
format: "news"
language: "en-GB"
---

# Boeing furloughs a ‘large’ number of employees during factory strike

**Published:** September 19, 2024
**Author:** Stockmark.IT Website
**Categories:** Jobs and Employment
**Featured image:** ![Woman using a megaphone at a protest. from Stockmark.it](https://i0.wp.com/stockmark.it/wp-content/uploads/stencil.default-2024-09-18T205246.440.jpg?fit=1200%2C800&quality=89&ssl=1)

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Boeing CEO announced on Wednesday that “a large number of” employees would be furloughed to save money during the union machinists’ strike that began last weekend. Kelly Ortberg said that the layoffs were temporary and would affect managers, executives and other employees.

Around 33,000 Boeing workers in the Pacific North-West started a strike Friday, after rejecting a proposed pay increase of 25% over four years. They are demanding raises of at lease 40%, and improvements to the agreement that they rejected.

Furloughs will affect thousands of Boeing workers. Ortberg stated that employees would be furloughed every four weeks for a week, while he and senior executives would receive pay cuts throughout the strike.

The strike has halted production on several Boeing models including the 737 Max, its best-selling plane. Boeing receives more than half the price of new planes when they are delivered to customers, so the strike is likely to hurt its cash flow.

Ortberg wrote in a memo sent to its employees that it was in talks with the International Association of Machinists and Aerospace Workers (IAMAW) about a possible new contract.

Boeing faces significant challenges as production has been halted on many of its key programs. It is therefore important to take the necessary steps to protect cash flow and to ensure that Boeing can successfully recover.

Boeing’s chief finance officer warned its employees this week of the possibility of temporary layoffs. The company is based in Arlington Virginia but the majority of its commercial aircraft business is located in Pacific North-West. They are also freezing hiring, cutting back on spending with suppliers and eliminating most travel.

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