MONTREAL — Canadian aircraft maker Bombardier announced Thursday it is cutting 1,750 jobs as it reduces its production rate of two types of business jet.
“Current economic conditions and geopolitical issues in some market regions, such as Latin America, China and Russia, have impacted order intake levels industry-wide,” Bombardier said.
The company is reducing its production rate for Global 5000 and Global 6000 business jets. About 1,000 jobs will be cut in the Montreal region, up to 480 in Toronto and up to 280 in Belfast in Northern Ireland.
“We have seen an industry-wide softness in demand recently in certain international markets and are taking steps to adjust our production accordingly,” Bombardier Business Aircraft president Eric Martel said in a statement.
Bombardier posted a loss of $1.2 billion last year, blamed on delays to its CSeries passenger aircraft program, restructuring plans and the suspension of its Learjet 85 business aircraft.
Repeated delays to the CSeries, a new type of aircraft designed to compete with smaller planes built by Boeing and Airbus, have already seen 1,700 job cuts announced in December 2013.
The cost of the program has increased by $2 billion to $5.4 billion. The company announced an additional 1,800 job cuts last July as it struggles to restructure its aerospace division.
In January, Bombardier suspended its Learjet 85 business jet program due to “weak market demand,” laying off 1,000 employees in Mexico and the United States.
Copyright Agence France-Presse, 2015