ETFOptimize | High-performance ETF-based Investment Strategies

Quantitative strategies, Wall Street-caliber research, and insightful market analysis since 1998.


ETFOptimize | HOME
Close Window

Boeing employees' safety, quality concerns surge dramatically in wake of incidents as deadline looms

Boeing released its annual safety report which showed a 500% increase in submissions to its safety and quality tip line as the aerospace giant prepares to submit a report to regulators.

Boeing released its annual safety report on Friday which showed a dramatic increase in submissions by employees about safety and product quality concerns as the aerospace giant readies a report for regulators to increase its production.

The company's third annual safety report found that in early 2024 there was a 500% increase in the use of Boeing's Speak Up tool for employees to submit reports about their concerns in the wake of a Jan. 5 incident in which a Boeing 737 Max 9 door plug panel blew off in mid-flight, forcing the airliner to return to Oregon's Portland International Airport for an emergency landing. Several other incidents involving Boeing aircraft also intensified the public scrutiny of the company.

The news comes as Boeing prepares to release a plan aimed at assuring regulators that the company has adequately addressed safety concerns in manufacturing processes. The Federal Aviation Administration (FAA) in February ordered Boeing to compile a comprehensive plan aimed at correcting quality-control issues. 

The report is due on May 30 and will be used by the FAA in determining whether it will allow Boeing to increase production of the 737 Max, including the Max 9 variant.

BOEING FACING 'LONG ROAD' IN ADDRESSING SAFETY ISSUES, FAA CHIEF SAYS

Boeing referred FOX Business to comments made by outgoing CEO Dave Calhoun at the company's annual meeting this month in which he said: "We proactively seek the inputs of our people, as demonstrated by the active participation and suggestions of our employees during stand downs following the accident and their engagement in various channels for speaking up that are accessible to all of our people. And our policies strictly prohibit retaliation of any kind." 

The report's release comes a day after FAA Administrator Mike Whitaker warned last week in an interview on ABC News that Boeing has a "long road ahead" as it looks to address quality-control issues and ramp up its manufacturing.

BOEING HAS A 'MORAL COMPASS PROBLEM,' VETERAN PILOT ARGUES

"What we're seeing next week is the plan going forward. It's not the end of the process. It's the beginning, and it's going to be a long road to get going back where they need to be making safe airplanes," Whitaker said.

Transportation Secretary Pete Buttigieg said in an interview Sunday on NBC News' "Face the Nation" that there is "an encouraging part and a concerning part" of the Boeing report and the increase in employee submissions.

BOEING RE-ELECTS OUTGOING CEO AS SEARCH FOR REPLACEMENT CONTINUES AMID SAFETY CULTURE CRISIS

"The encouraging part is we want Boeing, and any producer in the aviation space, to have a culture of, if you see something, say something. We want to make sure those mechanisms for reporting work. We have both whistleblower mechanisms to let us know something directly at the FAA, but in a healthy company, that should also be happening within the company."

Buttigieg was asked whether the hold would remain in place after Boeing submits its report and responded, "They're gonna have to do more to demonstrate their readiness to safely increase production. And again, obviously, the goal is for them to do so, but only on a safe and healthy basis."

GET FOX BUSINESS ON THE GO BY CLICKING HERE

FOX Business' Breck Dumas and Daniella Genovese contributed to this report.

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.


 

IntelligentValue Home
Close Window

DISCLAIMER

All content herein is issued solely for informational purposes and is not to be construed as an offer to sell or the solicitation of an offer to buy, nor should it be interpreted as a recommendation to buy, hold or sell (short or otherwise) any security.  All opinions, analyses, and information included herein are based on sources believed to be reliable, but no representation or warranty of any kind, expressed or implied, is made including but not limited to any representation or warranty concerning accuracy, completeness, correctness, timeliness or appropriateness. We undertake no obligation to update such opinions, analysis or information. You should independently verify all information contained on this website. Some information is based on analysis of past performance or hypothetical performance results, which have inherent limitations. We make no representation that any particular equity or strategy will or is likely to achieve profits or losses similar to those shown. Shareholders, employees, writers, contractors, and affiliates associated with ETFOptimize.com may have ownership positions in the securities that are mentioned. If you are not sure if ETFs, algorithmic investing, or a particular investment is right for you, you are urged to consult with a Registered Investment Advisor (RIA). Neither this website nor anyone associated with producing its content are Registered Investment Advisors, and no attempt is made herein to substitute for personalized, professional investment advice. Neither ETFOptimize.com, Global Alpha Investments, Inc., nor its employees, service providers, associates, or affiliates are responsible for any investment losses you may incur as a result of using the information provided herein. Remember that past investment returns may not be indicative of future returns.

Copyright © 1998-2017 ETFOptimize.com, a publication of Optimized Investments, Inc. All rights reserved.