Boeing 737 Max production halt in Wichita ‘was not our fault,’ county commissioner says
The new chairman of the Sedgwick County Commission said the economic issues in Wichita from the suspension of the Boeing 737 Max are “not our fault,” adding that he expects a long-term recovery “will be right around the corner.”
Pete Meitzner, who was chosen as the commission chairman on Wednesday, told reporters at a news conference that the county can “get through” mass layoffs at the largest employer in the state’s largest city.
”This is not good news, but we have experienced real economic downturn that resulted in far more numbers of people losing their jobs,” Meitzner said. “This was not our fault. The Max was not our fault, but we are suffering from it. But the rest of the country is still economically going, so we can get through this.”
Meitzner and other local, regional and state leaders met at the Wichita Workforce Center to discuss a coordinated response to layoffs after Boeing suspended production of the troubled 737 Max. Spirit AeroSystems announced it would lay off about 20% of its workforce. Economic multipliers show the 2,800 layoffs at Spirit will impact about 5,800 jobs in the region.
There are more 40 aerospace companies in the Wichita area that provide parts and services for the Max. The jet has been grounded since March after two crashes in other countries killed 346 people.
“My message is that there’s hope,” Meitzner said. “I’m very comforted that this whole group has come together. ... I feel for everything that’s going to happen, but we’re going to have a short-term plan and I think a solution, and I think a long-term recovery that will be right around the corner, as far as I’m concerned.”
Moody’s Investors Service downgraded the debt rating for Spirit to junk-bond status on Monday. The announcement advised that while the situation is “largely out of the company’s control,” Spirit’s earnings and cash generating capability will likely be weakened for at least two years.
“We are in this together,” said Brandon Whipple, who has been the mayor of Wichita for three days. “We are a community that is coming together to make sure that we face these troubles side by side.”
He said the short-term plan is to “care for the people of Wichita who are affected.” The mid-range plan is to help laid-off workers find new jobs, and the long-term plan is to diversify the city’s economy.
“There are going to be people who are facing this situation — of course it’s a negative — but some people might see it as an opportunity to go back to school, to go into a different career or just come here and they’re looking for something temporary to get them through this until Spirit’s back online,” Whipple said.
“As everyone knows, we make the best airplanes in the world. Wichita’s workforce is absolutely the best in the world. However, we can utilize that skill set to make other products for other industries.”
The group of community leaders dubbed their coordinated response the Air Capital Commitment. They plan to create a webpage with local resources for aviation workers. Three state government agencies have already created their own webpage with resources for laid-off workers.
Keith Lawing, CEO of the Workforce Alliance of South Central Kansas, said the community partners will provide information on job opportunities and other resources. Targeted job fairs are expected to be organized in the coming weeks, Lawing said, and temporary jobs already available include substitute teaching and working for the census.
“I guarantee you, once this is over, once we get through this situation, this will be a stronger community,” Lawing said.
This story was originally published January 15, 2020 at 6:41 PM.