United Airlines is facing delays in receiving new planes from Boeing, prompting the airline to ask its pilots to take time off voluntarily in May. The manufacturing problems at Boeing have caused a reduction in forecasted flight hours, leading to excess staffing at United. The airline is offering short-term leaves and unpaid time off to its pilots, with similar requests expected in the summer and possibly into the fall.
Boeing, which is struggling with production issues, has not yet commented on the situation. United is not expected to receive all the Boeing jetliners it had ordered for this year and next. The airline was due to receive 191 planes this year and 127 next year but now anticipates only 88 this year and 64 in 2025.
The majority of the shortfall comprises Boeing 737 Max planes, including the new Max 10 model. United had planned to introduce 80 Max 10 jets this year, but the Federal Aviation Administration has not yet certified the aircraft. The FAA's approval process is likely to be further delayed following an incident involving an Alaska Airlines Max 9 in January.
United is exploring options to replace orders for the Max 10 as federal regulators investigate production quality issues at Boeing. The FAA has prohibited Boeing from increasing production of 737 Max jets in light of these concerns.
United had previously announced that it expects financial losses in the first quarter due to the grounding of its Max 9s for inspections following the Alaska Airlines incident. The airline's CEO, along with other industry executives, has raised concerns about Boeing's problems and has sought a meeting with Boeing directors.
Boeing recently revealed a leadership shakeup, with CEO David Calhoun set to step down at the end of the year. The head of Boeing's commercial-airplanes unit has already been replaced, and the chairman of the board will not seek reelection in May. Boeing's stock fell 1.5% following the news, while United Airlines Holdings saw a slight increase in trading on Monday.
