Embraer to cut 20% of its workforce

Source : ATW

"Embraer announced yesterday that it will cut an estimated 20% of its workforce of 21,362 employees in response to an "unprecedented crisis affecting the global economy." The more than 4,000 cuts will be concentrated in production and administration, with a layer of management structure eliminated. Most of the engineering workforce will remain onboard continuing with new product and technology development. The Brazilian manufacturer forecasts $5.5 billion in revenue this year and expects to deliver 242 commercial and executive aircraft. Earlier this month, rival Bombardier Aerospace said it will reduce the number of temporary or contract workers by 1,010 and cut 350 permanent employees, amounting to about 4.5% of the total workforce. The Canadian manufacturer has an estimated 30,000 workers worldwide."