Aviation

Why Boeing Prefers Hiring 20 Times More Engineers in India Over China

Boeing, the aerospace giant, is undergoing a notable shift in its hiring strategy, focusing heavily on recruiting engineering talent in India while reducing its reliance on China.

According to a report by SCMP on August 1, Boeing is hiring nearly 20 times more engineers in India compared to China, signaling a significant strategic pivot.

The SCMP report highlights that as of a recent Wednesday, Boeing’s Careers site listed only five job openings in China, with three being engineering positions. In stark contrast, India had 83 job openings, including 58 engineering roles. This disparity in job postings has been consistent for several weeks, according to the report.

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Currently, Boeing employs about 2,200 people in China and over 6,000 in India, despite India’s commercial aviation fleet being roughly one-sixth the size of China’s. Several factors contribute to Boeing’s increased focus on India.

Firstly, many leading US companies are viewing India as an emerging hub for diversifying manufacturing operations away from China. Recent comments from a senior US official about prioritizing Indian students for STEM fields underscore a broader strategy of leveraging India’s scientific talent alongside its manufacturing capabilities.

Boeing’s strategic shift is also driven by market dynamics. China has shown a growing preference for Airbus over Boeing for new fleet acquisitions, compelling Boeing to seek growth opportunities elsewhere. India, with its burgeoning pool of engineering talent and rapidly expanding aviation market, presents an attractive alternative.

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Currently, India ranks as the world’s third-largest domestic airline market, behind only the US and China, and is projected to require 2,835 aircraft deliveries by 2043. The broader context of US-India relations also plays a crucial role. “India and the US are collaborating extensively on defense and technology, along with many other areas, including aerospace,” said an expert in the SCMP report.

Boeing’s increased involvement in India aligns with this collaborative trend. Notably, Airbus is also expanding its presence in India, further solidifying the country’s role as a key player in the aerospace sector.

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Aviation

Boeing to Slash 17,000 Jobs Worldwide Amid Ongoing Factory Strike

Boeing to Slash 17,000 Jobs Amid Ongoing Factory Strike

Boeing, one of the world’s largest aerospace manufacturers, is facing a severe crisis. The company announced on Friday that it will lay off 17,000 employees—roughly 10% of its workforce.

This decision comes amid a prolonged strike, production delays, and ongoing safety concerns with its aircraft. Kelly Ortberg, Boeing’s CEO since August, delivered the news, stating, “Our business is in a difficult position, and it is hard to overstate the challenges we face together.

Beyond navigating our current environment, restoring our company requires tough decisions, and we will have to make structural changes to ensure we can stay competitive and deliver for our customers over the long term.”

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Boeing has been struggling financially, with the last reported profit in 2018. The company’s largest union, with 33,000 members, has been on strike for nearly a month after rejecting a labor deal. The ongoing walkout is reportedly costing Boeing around a billion dollars each month as negotiations remain at a standstill.

Compounding these issues, Boeing’s much-anticipated boeing 777x wide-body plane is now six years behind schedule, with deliveries postponed until 2026. This follows the discovery of structural damage during flight tests. Boeing also announced it will stop manufacturing its commercial 767 freighters after fulfilling its remaining orders by 2027.

Financially, the company expects to report a significant third-quarter loss—nearly $10 per share—and a total cash outflow of $1.3 billion. boeing new aircraft commercial airplane unit faces a $3 billion pretax charge, while its defense business will absorb an additional $2 billion hit.

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The strike has severely impacted production at key boeing facilities, particularly in Seattle, where half of the company’s nearly 150,000 employees work. Since 2019, Boeing has lost approximately $25 billion.

Ortberg was brought in over the summer to help the company regain public trust following safety concerns, especially surrounding the 737 Max line, which was involved in two deadly crashes. Earlier this year, a separate incident involving a panel popping off a 737 Max mid-flight reignited concerns. A Federal Aviation Administration investigation following the event found that Boeing had failed 33 out of 89 product audits.