As demand declines, OEMs scale back production plans
Among other measures, manufacturers are increasingly looking to layoffs for
cost-cutting as demand dwindles and aircraft production rates drop.

Among other measures, manufacturers are increasingly looking to layoffs for
cost-cutting as demand dwindles and aircraft production rates drop. Analysts and industry observers look for things to get worse before they get better.

In mid-January, Cessna chairman, president and CEO Jack Pelton announced that the Wichita-based OEM will lay off 2,000 workers by the end of next month. This is in addition to 665 layoffs in December (500 in Wichita and 165 in Bend, Ore.). The combined layoffs represent approximately 4.5 percent of Cessna’s workforce in Wichita and Independence.