Cessna Planning To Cut 1300 Jobs

South Florida Sun-Sentinel




June 13, 2009

Cessna Aircraft Co., the nation's largest builder of corporate jets, said Friday that it is laying off another 1,300 workers, raising the number of jobs eliminated to half of its workforce since November as the recession depresses demand for its planes.

Cessna said the cutbacks will affect all of its facilities.

"The fact is this is a cyclical industry and right now we are in the worst part of the cycle. Our industry continues to struggle," said company spokesman Robert Stangarone.

Cessna told workers that the first 800 layoff notices, mostly affecting production workers, will go out by June 19. The company then will largely shut down for a previously scheduled furlough period from June 22 to July 17. The remaining 500 affected workers will receive their notices after they return, but no later than Aug. 14.

Cessna has laid off about half of its employees since the first round of cuts was announced in November. The company employed nearly 16,000 people last year—including about 12,000 in Wichita, where it is based—before the economic downturn slashed global demand for corporate aircraft.

Workers had been bracing for the next round of layoffs since the company warned them earlier this month that still more cutbacks were coming. "We are confident that the business will come back, as it always has, and the actions we are taking are helping us position for the recovery," Stangarone said.

http://www.sun-sentinel.com/business/sfl-tc-biz-brf-cessna-0612-0613-sbjun13,0,704813.story

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