Spirit AeroSystems: Some temporary layoffs to become permanent

Some Spirit AeroSystems production workers who were to be temporarily laid off will receive permanent layoff notices.

Spirit said in a statement Monday to The Eagle that “temporary layoffs announced late last year have been transitioned to permanent layoffs.” The statement said the permanent layoffs will affect “a small number of hourly employees” who received temporary layoff notices in December.

A Spirit official wouldn’t provide an exact number.

On Dec. 21, Spirit said it would lay off fewer than 70 production workers in Wichita for a period not expected to last more than 21 days.

According to information posted on the Kansas Works website, the exact number of workers affected in that action was 66. The company has about 11,000 employees in Wichita.

Spirit said in its statement Monday that the reasons for the permanent layoff remain the same as they did last month.

“Current employment levels are too high based on factory efficiencies and lower than expected attrition levels,” the statement said.

Frank Molina, president of the District 70 Machinists Union, whose members are affected by the layoff, questioned in a statement to The Eagle the need to lay off production workers when Spirit’s production rates and schedules have not slowed.

The union understands workforce reductions when times are tough and business is slow, he said in the statement.

“That’s not the case with Spirit,” Molina said in the statement. “So I’m disappointed with Spirit, with the lack of communication with the employees and the union. There will be tough times we will have to get through.

“This should not be one of them.”

In the third quarter of 2015 that ended Sept. 30, the most recent quarter that Spirit publicly disclosed its financial results, the company reported an 87 percent profit gain on $1.6 billion in revenue, compared with the third quarter of 2014. It also said it had a $46 billion backlog of work.

It also is preparing for monthly production increases in the Boeing 737 and the 787 jetliners. Spirit manufactures the 737 fuselage and the composite forward fuselage of the 787, in addition to other parts of those airplanes.

Spirit said Monday it would offer transition services to employees who are permanently laid off. It also said in the statement that it expects to be hiring employees this year “to meet the needs of the business.”

Separately, Spirit in mid-December announced a voluntary retirement and a voluntary layoff program for some executives, managers and salaried employees represented by the Society of Professional Engineering Employees in Aerospace, in Wichita and Oklahoma.

SPEEA Midwest director Bob Brewer said Monday the closing date for employees to sign up for that program was Friday, and he’s expecting to hear soon about the number of employees represented by his union that signed up for the program.

This story was originally published January 11, 2016 at 5:44 PM with the headline "Spirit AeroSystems: Some temporary layoffs to become permanent."