Boeing announced it will issue termination notices to employees included in the aerospace giant's broader layoffs plan.
Boeing said the approximately 17,000 employees affected by the layoffs were notified this week and are expected to leave in mid-January.
The cuts, which were made in response to a trade union strike, amount to 10% of the workforce.
Boeing said in a statement to FOX Business that it is “adjusting our workforce levels to align with our financial realities and a more focused set of priorities.”
Chief Executive Officer Kelly Ortberg, who took over in August, said in a memo to employees last month that the job cuts include executives, managers and employees.
“Our business is in a difficult situation and the challenges we face together cannot be overstated,” Ortberg told staff. “The situation requires tough decisions and we must continue to remain competitive.” We will provide this to our customers over the long term.”
The company has approximately 170,000 employees worldwide, many of whom work at manufacturing facilities in South Carolina and Washington.
The company also announced that it will end production of the 767 in 2027 after completing its current 29-plane order.
Boeing also delayed the rollout of the new 777X to 2026 instead of 2025. The postponement comes after the recent discovery of a defective part that halted test flights earlier this year.
The aerospace company faced a strike involving 33,000 workers in the Seattle area.
The strike halted production of Boeing's best-selling planes, the 737 Max, 777, and 767.
The strike began after workers overwhelmingly rejected preliminary contract negotiations offered by the company.
The Max is a key source of revenue for Boeing, which raised more than $24 billion in late October to shore up shaky finances and protect its investment-grade rating after concerns from rating agencies.
Boeing has been on a slide from crisis to crisis this year, starting on January 5, when a door panel blew off a 737 Max jet mid-air.
Since then, the company's CEO has resigned, production has slowed as regulators investigate the company's safety culture, and its largest union went on strike on September 13.
The strike ended on Nov. 5, and Boeing workers returned to the company's Seattle-area assembly lines this week, providing a boost to the slow revival of Max production.
FOX Business' Jasmine Baehr and Reuters contributed to this report.
