Boeing freezes hiring and mulls temporary layoffs, citing machinists' strike
CBSN
Boeing is freezing hiring across the company, citing a strike launched on Friday by 33,000 machinists at the airplane manufacturer that it said "jeopardizes" its business.
Boeing is also pausing all pay raises and promotions, halting non-essential business travel, and taking other steps to cut costs, the aviation giant said Monday as the ongoing strike begins taking a financial toll. Other belt-tightening measures include eliminating corporate first- and business-class travel, as well as pausing spending on outside consultants, charitable contributions, and advertising and marketing.
The measures are aimed at preserving cash and safeguarding the company's future, Boeing Chief Financial Officer Brian West said in a memo shared with employees. Boeing underlined that it will not reduce funding in areas that support safety, quality and direct customer support work.
