Boeing intends to cut 2,000 white-collar jobs in finance and human resources

Boeing Co (BA) said earlier this week it intended to cut nearly 2,000 white-collar jobs in finance and human resources in 2023.

The US company confirmed a report by Seattle Times that it expected “about 2,000 reductions this year primarily in finance and HR through a combination of attrition and layoffs.”

It also confirmed that roughly one third of the jobs in question would be outsourced to India’s Tata Consulting Services.

The plane maker said on Monday it would continue to simplify its corporate structure.

In January, Boeing had announced plans to hire 10,000 people in 2023, but also to eliminate some support positions. Last year, it said it would cut some 150 finance jobs in the United States in order to focus on manufacturing and product development.

The shares of Boeing Co closed 3.84% ($7.95) higher at $214.76 in New York on Tuesday, with the plane maker’s total market cap now standing at $128.48 billion.

The shares of Boeing Co went down 5.38% in 2022, compared with a 19.44% loss for the benchmark index, S&P 500 (SPX).

The shares have risen 12.74% so far this year.

Analyst stock price forecast and recommendation

According to TipRanks, at least 10 out of 15 surveyed investment analysts had rated Boeing Co’s stock as “Buy”, while 5 – as “Hold”. The median price target on the stock stands at $231.00, representing a 7.56% upside compared to Tuesday’s closing price.