Coronavirus prompts GE Aviation to eliminate 25% of jobs worldwide
General Electric reported earnings last week
Treasury Secretary Steven Mnuchin on when international travel will be reopened amid the coronavirus pandemic.
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GE Aviation plans to cuts its global workforce of roughly 52,000 employees by up to 25 percent after the coronavirus pandemic has decimated the commercial aviation market.
"We are developing our plan for permanent reductions to our global employee base that we anticipate will bring our total reductions this year to as much as 25% (including both voluntary and involuntary actions already announced)," GE Aviation CEO David Joyce told employees in a memo.
GE PROFIT SPIKES, OVERCOMING AVIATION DRAG
Global traffic is expected to fall approximately 80 percent in the second quarter compared to before the pandemic, Joyce said, adding that aircraft manufacturers plan to have reduced production schedules into 2021.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| GE | GE AEROSPACE | 175.21 | +3.37 | +1.96% |
General Electric reported earnings last week. Profit from aviation, which makes jet engines for commercial airliners, fell 39 percent to $1 billion.