Boeing to Cut 1,100 Jobs on Drop in Output for C-17 Military Transport Jet

Boeing Co. will cut 1,100 jobs tied to the C-17 military cargo plane through 2012 to match dwindling demand and production.

Deliveries will fall to 13 planes this year from 14 in 2010, toward an annual goal of 10 jets, Chicago-based Boeing said today in a statement. The Globemaster III is assembled at Boeing’s factory in Long Beach, California.

Most of the jobs being eliminated will come from the C-17 plant in Long Beach, with about 200 spread among production program workers in Georgia, Arizona and Missouri, according to the statement. Boeing’s defense unit has 68,000 employees worldwide.

Boeing has said the Long Beach factory is at risk of being closed unless the company can get more overseas orders to offset declining orders from the U.S. military. The C-17 carries troops and equipment and can land on short and sandy runways.

To contact the reporter on this story: Sonja Elmquist in New York at Selmquist1@bloomberg.net.

To contact the editor responsible for this story: Ed Dufner at edufner@bloomberg.net

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