 "Aviation giant Boeing to slash 2,000 jobs in finance, HR this year")
Aviation giant Boeing is slashing 2,000 jobs in finance and HR verticals this year and the company outsources about a third of those jobs to Tata Consulting Services (TCS) in Bengaluru, the media reported.
The rest of the jobs will "disappear" as Boeing reduces its finance and HR support services, reports Seattle Times, citing Mike Friedman, a senior director of communications at Boeing.
"Boeing employees trained Tata Consulting Services employees on that initial set of outsourced work, which TCS is scheduled to take over in the coming week," the report mentioned.
Boeing now has nearly 3,500 direct employees in India and another 7,000 people in India employed at its suppliers, including Tata Group.
"The TCS non-engineering work for Boeing will be done at a new facility in Bengaluru," the report said.
According to the report, these corporate positions will be slashed through substantial job cuts and layoffs.
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"We expect about 2,000 reductions this year primarily in Finance and HR through a combination of attrition and layoffs," Boeing confirmed.
"Over time, some of our corporate functions have grown quite large. And with that growth tends to come bureaucracy or disparate systems that are inefficient. So we're streamlining," Friedman was quoted as saying.
About 1,500 jobs will be cut in finance from a total of 5,800 company-wide, and up to 400 more in HR, about 15 per cent of the workforce there.
In another move to cut costs, Boeing has started requiring managers preparing employee annual performance reviews for 2022 to classify 10 per cent of their staff as failing to meet all expectations.
In addition to outsourcing work, Boeing hopes to reduce work both by simplifying processes and by cutting out some tasks.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)