NewsBoeing leadership reshuffle amid safety scandals and production woes

Boeing leadership reshuffle amid safety scandals and production woes

Dave Calhoun will leave Boeing
Dave Calhoun will leave Boeing
Images source: © Getty Images | Aaron Schwartz
ed. PBE

26 March 2024 08:11

Boeing’s CEO Dave Calhoun announced he will leave the company by the end of the year as part of a wider reshuffle in the leadership of the aerospace giant. The decision comes amid the conglomerate's mounting safety and commercial aircraft production issues.

According to CNN, Calhoun sent a special letter to employees regarding this matter. In addition, Boeing’s company president, Larry Kellner, will also conclude his tenure at Boeing as he will not seek another term in this role. Stanley Deal was dismissed as well, who had been leading the division responsible for the production of civilian aircraft.

As reported by The Wall Street Journal, the reshuffle within the company happens due to pressure from investors upset by a series of scandals and operational failures. This includes an incident in January, when emergency doors fell from an Alaska Airlines 737 Max 9 plane mid-flight. This event led to an investigation and renewed concerns regarding production standards.

Calhoun was appointed head of Boeing in 2020, tasked with enhancing the standards and reputation of the company following two Max 8 aircraft disasters, which resulted from the concealment of information about defects in the aircraft from regulators. In 2021, the company pleaded guilty to a charge of "conspiracy to commit fraud against the United States" and as part of a settlement, paid over £2 billion in fines.

Tragic Signalman

Customers have also voiced complaints about delays in the production and delivery of new aircraft. In March, the suspected suicide of a former company employee brought further scrutiny, who had testified in a lawsuit against the company, accusing it of using unsuitable parts and other lapses in the aircraft production process.

The body of 62-year-old John Barnett was found in a car in a hotel car park. Barnett had worked for Boeing for 32 years before retiring in 2017.