Boeing delivered just 14 aircraft in October this year - the lowest since November 2020 with only seven deliveries, signalling the impact of the strike action that took place over the course of the month. In addition, it had made 13 deliveries in October 2020.
Boeing machinists in Seattle and Portland voted to go on strike on September 13, 2024, halting production. An agreement was reached on November 4, 2024, after contentious negotiations between the OEM and the workers' representatives, IAM Union District 751 & W24.
The IAM-represented machinists returned to work on November 12, 2024. However, training and other procedures will have to take place ahead of full production resumption.
A spokesperson for the company confirmed that it will be “several weeks” before airplane production is fully restarted to ensure full compliance with its safety management system.
“We will safely and methodically restart operations in Washing and Oregon to build the 737, 767, 777/777X and military derivatives P-8 and KC-46A,” the spokesperson added. The company said it is “focussed on safety and quality”.
The OEM is concurrently contending with regulatory oversight following the Flight 1282 incident in January where a door plug blew out shortly after take off on an Alaska Airlines 737 MAX 9 flight. The Federal Aviation Administration (FAA) capped Boeing's 737 MAX production to 38 per month following the incident.
Ortberg said in Boeing's recent earnings call that once the cap is raised, the subsequent cap increases will follow more swiftly. A person familiar with the matter said that regulatory bodies - which have traditionally followed suit with each other - have shown some bifurcation in their decision making. This was seen more recently after NTSB chair Jennifer Homendy sent a letter to FAA chief Mike Whitaker at the end of September, accusing the FAA of “downplaying the urgency” of rudder component issues on 737 aircraft.
The spokesperson said aircraft that have been completed and certified will continue to be delivered from its delivery centres in Everett and Seattle, as well as from Boeing South Carolina.
The deliveries consisted of nine 737 MAX aircraft and four 787 Dreamliner aircraft, as well as one 767-300 freighter aircraft to FedEx Express.
Orders in the month totalled 63 aircraft, bringing its backlog to 5,462 aircraft. Demand is certainly not an issue for Boeing despite the biting issues it has faced in recent times. The order tally included Avia Solutions Group's firm order for 40 737 MAX aircraft. The ACMI provider also has options for 40 additional 737 MAX aircraft. In addition, it includes LATAM Airlines orders for 10 787 Dreamliner aircraft.
The orders for the month also includes six 737 MAX and seven 777 freighter aircraft ordered by an unidentified customer.
Boeing also began issuing layoff notices, Reuters reported, as it seeks cut around 10% of its workforce, or 17,000 jobs. The notified employees will be given a 60-day notice.