Post by Ravenchamp on Nov 14, 2013 17:37:13 GMT -5
Lockheed Martin to cut 4,000 jobs as U.S. defense spending falls
* Four plants to be closed, work to be relocated
* US defense cuts seen leading to more industry layoffs
By Karen Jacobs
ATLANTA, Nov 14 (Reuters) - Lockheed Martin Corp,the world's largest defense contractor, said on Thursday itplans to slash 4,000 jobs and shutter plants in several statesto reduce costs in the face of declining U.S. defense spending.
The Bethesda, Maryland, weapons maker will close theaffected facilities by mid-2015 to achieve job cuts that amountto more than 3 percent of its global workforce.
"Our customers face an increasingly complex global securityenvironment with rapidly shrinking budgets," Lockheed chiefexecutive officer Marilyn Hewson said in a memo to employeesentitled "Making Difficult Decisions to Secure Our Future."
finance.yahoo.com/news/lockheed-cut-4-000-jobs-141442944.html
The plants being closed include operations in Akron, Ohio,that make parts for radar and surveillance systems; Newtown,Pennsylvania, which makes communications satellites; Goodyear,Arizona, which handles software development for sensors; andHorizon City, Texas, which performs final assembly of missiles.
The company said four buildings at its Sunnyvale,California, space systems operation will also be shut.
The plant closures will eliminate 2,000 positions, Lockheedsaid, while "operational efficiency initiatives" will pareanother 2,000 in the information systems and global solutions,mission system and training and space systems business segmentsby the end of 2014.
Certain work will be relocated to other Lockheed facilitiessuch as Denver and Valley Forge, Pennsylvania.
A number of defense companies have shed non-core divisions,consolidated facilities and cut jobs in recent years to copewith revenue declines as the United States, the world's largestweapons buyer, pares its military budget.
The Pentagon, Lockheed's biggest customer, is bracing forone trillion dollars in spending cuts over the next decade aspart of the 2011 Budget Control Act and the U.S. sequestrationprocess.
* Four plants to be closed, work to be relocated
* US defense cuts seen leading to more industry layoffs
By Karen Jacobs
ATLANTA, Nov 14 (Reuters) - Lockheed Martin Corp,the world's largest defense contractor, said on Thursday itplans to slash 4,000 jobs and shutter plants in several statesto reduce costs in the face of declining U.S. defense spending.
The Bethesda, Maryland, weapons maker will close theaffected facilities by mid-2015 to achieve job cuts that amountto more than 3 percent of its global workforce.
"Our customers face an increasingly complex global securityenvironment with rapidly shrinking budgets," Lockheed chiefexecutive officer Marilyn Hewson said in a memo to employeesentitled "Making Difficult Decisions to Secure Our Future."
finance.yahoo.com/news/lockheed-cut-4-000-jobs-141442944.html
The plants being closed include operations in Akron, Ohio,that make parts for radar and surveillance systems; Newtown,Pennsylvania, which makes communications satellites; Goodyear,Arizona, which handles software development for sensors; andHorizon City, Texas, which performs final assembly of missiles.
The company said four buildings at its Sunnyvale,California, space systems operation will also be shut.
The plant closures will eliminate 2,000 positions, Lockheedsaid, while "operational efficiency initiatives" will pareanother 2,000 in the information systems and global solutions,mission system and training and space systems business segmentsby the end of 2014.
Certain work will be relocated to other Lockheed facilitiessuch as Denver and Valley Forge, Pennsylvania.
A number of defense companies have shed non-core divisions,consolidated facilities and cut jobs in recent years to copewith revenue declines as the United States, the world's largestweapons buyer, pares its military budget.
The Pentagon, Lockheed's biggest customer, is bracing forone trillion dollars in spending cuts over the next decade aspart of the 2011 Budget Control Act and the U.S. sequestrationprocess.
