Boeing to cut 17,000 jobs, delay 777X delivery to 2026 amid strike and $5 billion loss

Boeing has revealed plans to eliminate 17,000 jobs, delay the delivery of its 777X jet by another year, and report $5 billion in losses for the third quarter. The company’s struggles stem from a prolonged strike by 33,000 workers on the U.S. West Coast, which has halted production of its key aircraft models, including the 737 MAX, 767, and 777.

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CEO Kelly Ortberg informed employees that the job cuts, representing around 10% of Boeing’s workforce, are necessary to address the company’s financial difficulties. "We are adjusting our workforce to match our financial reality and narrowing our priorities," Ortberg said, adding that the layoffs will impact all levels, including managers and executives.

The ongoing strike is costing Boeing $1 billion per month, according to estimates from ratings agency S&P. The company has filed an unfair labor practice charge against the machinists' union, accusing it of failing to negotiate in good faith.

Boeing also announced that the first deliveries of its much-anticipated 777X jet have been pushed to 2026, citing both development challenges and the work stoppage. The company had already experienced delays with the jet’s certification. Following the announcement, Boeing’s stock dropped 1.7% in after-hours trading. The company faces mounting pressure to resolve the strike, as its investment-grade credit rating is at risk.