Attention Extreme Investors! Get ready for some major news in the business world that could impact your investment decisions. Boeing’s more than seven-week machinist strike is making waves, and it’s set to hit Friday’s U.S. jobs report — the last one before the Nov. 5 presidential election and the Federal Reserve’s meeting next week. This strike has already affected around 44,000 U.S. workers, with approximately 33,000 of them being Boeing machinists who walked off the job back in September.
Economists are forecasting that the U.S. will have added 100,000 jobs in October, but with the strikes and effects of Hurricanes Helene and Milton, payroll tallies could be at least 50,000 lower than expected. Federal Reserve Governor Christopher Waller even stated that these factors could have a 100,000-job impact on the October report, causing a “significant but temporary loss of jobs.”
Boeing’s new CEO, Kelly Ortberg, has been facing challenges as he navigates the company through safety, quality, and financial crises. The unionized machinists in the Seattle area voted against a new proposal, complicating matters further.
The Biden administration has stepped in, urging both sides to reach a deal. CEO Ortberg has also announced that the company will be cutting 10% of its global workforce, with 17,000 job losses expected. These layoffs are expected to be announced in mid-November as Boeing looks to streamline its operations.
The impacts of Boeing’s strike could also trickle down to the aerospace supply chain, as Spirit AeroSystems has already put 700 workers on a 21-day furlough in Wichita, Kansas. If the strike persists, more furloughs or layoffs could be on the horizon.
Stay tuned for more updates on this evolving situation and how it could impact your investment strategies. Remember, at Extreme Investor Network, we keep you ahead of the curve with unique insights and analysis on the latest business news. Stay informed, stay empowered, and stay connected with us for all your investment needs.