WICHITA, Kan. (Jan. 04) – U.S. aerospace giant Boeing plans to close down its Wichita, Kan., plant which would impact more than 2,000 employees working in the plant. The decision has reportedly been taken in the wake of shrinking U.S. defense spending.
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| Boeing to close Wichita plant by end of 2013 |
Boeing officials told, validating earlier reports, the shutting down will be exercised by the end of 2013, but it doesn't expect job cuts to take place until early in the third quarter of 2012.
Boeing said in a statement, “The site does not have enough sustainable business on the horizon to create an affordable cost structure to maintain and win new business.” Future aircraft maintenance, modification and support work will be done at its San Antonio facility. The shifting to the new plant will start in the months ahead, the statement disclosed further.
The plant under the threat of closing down has been manufacturing aircrafts since 1929 and it is part of Boeing's defense, space and security apparatus, or BDS. The Wichita plant, with more than 2,160 workers, had been the company's base for its worldwide transport executive systems business as well as its B-52 and 767 International Tanker programs.
However, the facility had been hit with program closures and the winding down of contracts over the past five years.
“The site does not have enough sustainable business on the horizon to create an affordable cost structure to maintain and win new business. We recognize how this will affect the lives of the highly skilled men and women who work here, so we will do everything possible to assist our employees, their families and our community through this difficult transition,” said Mark Bass, vice president and general manager for BDS' maintenance, modifications and upgrades division.
Boeing said it will provide workers with retirement seminars, job search resources, financial counseling and help finding work inside or outside of Boeing.
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