Cessna Aircraft and Bombardier Aerospace each announced cuts in their business jet production rates, this week. Both said that they plan to lay off more people, as well.
On March 30, Cessna’s Jack Pelton told employees that, because of continuing economic decline, “We have revised [downward] our production schedules for 2009 and 2010, and that means we will need to further reduce our workforce.” Cessna already had announced 2,000 job cuts and lowered its 2009 delivery estimate downward by 20% late in January. Pelton also said there will be a two-week shutdown of Cessna in July, instead of the company’s traditional one-week summer break.
Bombardier said on April 2 that it will deliver about 175 business jets this fiscal year, 25% fewer than the 225 it delivered in fiscal year 2009. It also will reduce its aerospace workforce in the United States, Canada, Mexico and Northern Ireland by an additional 10%, some 3,000 employees, by year-end. In February, Bombardier had laid off 1,360 employees.
