Boeing's 2025 Layoffs: Severance Inside Guide
fired.fyi staff
Jan 22, 2025
Boeing has announced plans to reduce its workforce by 17,000 positions worldwide by mid-2025. If you're affected by these layoffs, understanding your potential severance package is likely a top priority. We've analyzed Boeing's historical severance practices, examined industry standards, and compiled comprehensive data to help you navigate what's ahead. If you've been through a previous Boeing layoff, consider sharing your severance details to help others in similar situations.
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Submit Your SeveranceBoeing's 2025 Layoffs: Current Situation and Context
The scale of this workforce reduction is significant: Boeing plans to decrease their workforce by approximately 10%, affecting around 17,000 employees. The impact varies by region, with Washington state, California, South Carolina, and Alabama experiencing the most substantial reductions. The majority of layoffs will result in employees finishing their employment in the first half of 2025. Many employees were given notice at the end of 2024 and therefore after their 60-day notice period, exited in January 2025.
This timing aligns with several challenges facing the company. Boeing is currently managing financial pressures, addressing production delays, and working to recover from a significant machinists' strike that impacted operations. These layoffs are part of their broader strategy to realign their commercial aviation division.
CEO Kelly Ortberg has publicly committed to supporting affected employees through this transition. While specific departments haven't been fully identified, the company publicly shares their support package including severance, career transition assistance, and a few months of subsidized healthcare.
Understanding Boeing's Severance History
Comprehensive Severance Package Analysis
Due to standard negotiated union contracts, Boeing's approach to severance has been relatively consistent, providing valuable precedent for what to expect in 2025. Here's a detailed breakdown:
Typical Employee Packages
- Base Severance Structure:
- Standard Package: 1 week of base pay per year of service, with a 4 week minimum and 26-week maximum
- Enhanced Package (select employees): 2 weeks per year, capped at 60 weeks, with a guaranteed minimum of 26 weeks
- Package selection often depends on role, union status, and location
- Healthcare Continuation:
- COBRA eligibility extends to 18 months
- First 3 months: Boeing subsidizes premiums to match active employee rates
- Months 4-18: Full COBRA premium (102% of standard monthly rate)
- Dental and vision coverage options typically mirror medical coverage terms
- Career Transition Support:
- Comprehensive job search resources and tools
- Career counseling sessions
- Access to Boeing's alumni network and job boards
- PTO and Leave Benefits:
- Complete payout of unused PTO at termination
- Sick leave handling varies by state regulations
- Sabbatical and extended leave arrangements addressed individually
Performance-Related Compensation
- Bonus and Incentive Treatment:
- Pro-rated bonus calculations based on termination date
- California employees receive additional protections under state law
- Performance year considerations impact final calculations
- Union-Specific Advantages:
- SPEEA members receive additional negotiated benefits
- Collective bargaining agreements may provide supplemental protections
- Union representation during severance negotiations available
Additional Benefits
- Legal Compliance and Notice:
- WARN Act mandates 60-day notice for mass layoffs
- Full compensation and benefits continue through notice period
- State-specific requirements may extend notice periods
- Retirement and Financial Planning:
- Existing retirement benefits remain or can be rolled over
- Company matching contributions cease at termination
- Financial advisory services often available
- 401(k) loan repayment terms may be negotiable
- Immigration and Relocation:
- Visa holder support and international employee considerations addressed individually
Please note package details can vary significantly based on your specific situation. For more detailed information, please reference the full Boeing Employee Layoff Benefits Plan and SPEEA Beoing Employee Layoff Benefit Summary.
Industry Comparison: Boeing vs. Competitors
Understanding how Boeing's packages compare to industry peers can provide valuable context for negotiations:
Lockheed Martin
- Base Severance: 1-2 weeks per service year, specific terms often confidential
- Healthcare: COBRA continuation with variable subsidy arrangements
- Additional Support: Comprehensive career transition services
- Notable Difference: Often includes stronger defense contract transition support
Northrop Grumman
- Severance Structure: 1-2 weeks per year, typically with tenure-based caps
- Health Benefits: COBRA available, partial subsidies common
- Career Services: Robust transition support program
- Key Advantage: Strong internal placement program for affected employees
Raytheon Technologies
- Pay Structure: Base severance plus tenure-based additions
- Health Coverage: COBRA with transitional subsidies
- Support Services: Industry-leading outplacement program
- Unique Feature: Enhanced benefits for specialized technical roles
2025 Package Expectations and Strategy
Based on Boeing's established patterns and current industry dynamics, here's what to anticipate:
Financial Components
- Standard Package: 1 week of base pay per year, minimum 4 weeks, maximum 26 weeks
- Union Enhanced (select employees): 2 weeks per year, 60-week cap, 26-week minimum
- Annual bonus pro-ration likely to follow established formulas
Health Benefits
- COBRA coverage extends to 18 months
- First quarter premiums at active employee rates
- Possible extension of subsidized rates based on negotiation
Core Benefits Package
- Complete PTO payout guaranteed]
- Performance bonus consideration where applicable
- 60-day WARN Act period with full benefits
2025 Considerations
While Boeing works to align its workforce with operational needs, union agreements provide a strong foundation for severance benefits. Historical patterns suggest core elements will remain stable, though some flexibility may exist in specific terms.
Taking Action
While Boeing finalizes its announcement details, you can take proactive steps. Share your severance history to gain early access to our comprehensive severance comparison database. Boeing's strong union presence typically ensures consistent package structures, and 2025 arrangements are likely to follow established patterns. When you receive your offer, remember to add it to our database. Your contribution helps fellow professionals negotiate more effectively.
Remember that while layoffs present significant challenges, informed decisions come from shared knowledge. Building a community of shared experiences helps everyone navigate these transitions more successfully. If you encounter any uncertainties about your package, consulting an employment attorney can provide valuable clarity and perspective.
Stay focused and remember you're not alone in this process. The more information we share collectively, the better equipped everyone becomes to handle these challenging transitions effectively. Your experience today becomes someone else's valuable reference point tomorrow.
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