Boeing faces consequences after security breaches lead to employee terminations

At the end of the year, Boeing Chief Executive Dave Calhoun will step down as part of a larger management shakeup triggered by the safety crisis facing the planemaker. Along with Calhoun, Chairman Larry Kellner and Stan Deal, head of the commercial aircraft business, are also leaving their positions.

The January incident, which involved a panel on a 737 Max aircraft failing mid-flight, adds to a series of safety problems that have tarnished the company’s reputation and hindered its production capabilities. The Boeing board is working to address the numerous issues that have been eroding confidence in the company over the past few weeks.

Some investors believe that a restructuring alone will not be sufficient to resolve Boeing’s ongoing issues. As the company grapples with federal investigations and halts production to address safety and quality concerns at a manufacturing facility outside of Seattle, discussions are underway to potentially acquire former subsidiary Spirit AeroSystems to gain more control over its supply chain. The company is working to regain trust and stability amidst the turbulent times it has been facing.

By Samantha Johnson

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