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© alexey utemov dreamstime.com Electronics Production | February 17, 2016

Bombardier to reduce workforce by 7'000 employees

Planes and trains Manufacturer, Bombardier, said that it will optimise its workforce by 7'000 worldwide over the course of two years.
Bombardier will take steps to optimise its workforce with a combination of a manpower reduction and strategic hiring throughout 2016 and 2017. The company's global workforce will be reduced by a targeted 7'000 production and non-production employees, including 2'000 contractors.

The company also says that this reduction will partially be offset by hiring in certain growth areas, to support the ramp-up of certain programs and projects, among these Bombardier mention the C Series.

Among the reasons for the reduction, the company mentions modified production rates for some aircraft models due to macroeconomic conditions – and that the company is simply adapting its workforce to meet market demand.

Major aerospace development programs and projects at Transportation, which mobilized numerous employees, are ramping down – which the company expected, and thus Bombardier is resizing its manpower to match future workloads.

“Throughout 2016 and 2017, we will adapt our global manpower to current market conditions, while hiring to support growing segments, such as the C Series,” said Mr. Bellemare. “These adjustments are always difficult. They are important to ensure that, with our 64'000 employees worldwide, we continue to create superior value for our customers, be more competitive, and deliver improved financial performance,” he added.

Impacted positions are mostly based in Canada and Europe, where the company’s aerospace and rail transportation activities are concentrated. Bombardier will support affected employees and will provide them with resources to help them manage through their transition.

Business segmentTargeted workforce reduction
Aerostructures and Engineering Services2,500
Business Aircraft500
Commercial Aircraft0
Product Development Engineering, Aerospace800
Transportation3'200
Total7'000


The reductions will begin in the coming weeks and will be implemented over a period of two years. Throughout 2016, on a full year basis, Bombardier expects to record USD 250 million to USD 300 million in restructuring charges that will be reported as special items when accrued.

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