For Boeing Co., the pandemic was just one item on the long list of its existential concerns over the past four years. But after a talent exodus, the twin tragedies of its 737 Max jets falling from the sky, and stiff competition from rivals (on top of COVID’s blow to air travel), the company is gearing up for a production resurgence that will help mount the industry's steepest ramp-up in modern aviation history.
The comeback rides on whether a Boeing factory south of Seattle can pump out 31 of its cash cow Max jets each month, a 63% jump from its pace in October. The breakneck acceleration is already underway at a time when rival Airbus SE is also pushing the pedal to the floor. And then the real challenge will be to keep steadily moving higher.
But Boeing can’t do it alone. The risk is that the constellation of suppliers that ship millions of parts to planemakers and enginemakers won’t be able to hire enough workers to keep pace. Those smaller manufacturers are facing labor shortages two years after U.S. aerospace companies jettisoned 57,000 employees. Already at the current low production pace, there are signs of stress and spot shortages. With an industry upturn looming, the crunch looks poised to get much worse.
