Boeing Proposes Voluntary Early Retirement Plans
Boeing CEO Dave Calhoun said that Boeing will provide employees with the opportunity to volunteer and retire early in order to ease the economic pressure caused by the new crown virus pandemic. He issued a statement stating that “we must face new realities.” “We hope to address this through responsible natural wastage and voluntary action. To this end, we have launched a Voluntary Recruitment program to allow eligible Employees accept the conditions and benefits to exit the company. ”
Sources familiar with the situation said on Wednesday that in order to mitigate the financial impact of the new crown epidemic on the company, Boeing is preparing to propose buyouts and early retirement plans to its employees.
One of the sources said that Boeing is preparing a voluntary separation plan to allow qualified and willing employees to leave, and provide compensation for salary and benefits.
Another source said that the company ’s chief executive, Dave Calhoun, is expected to send a memo to employees as early as Thursday detailing the voluntary separation plan.
Boeing has approximately 150,000 employees worldwide, nearly half of which are concentrated around factories in the Puget Sound area of Seattle.
Boeing said three weeks ago that the company will freeze hiring and overtime pay except for certain key areas to keep cash.