Aggravating the bad feelings between management and the workforce, Raytheon officials also announced the tentative decision to outsource a limited number of machined parts and precision assemblies. The company claims it plans to outsource all of the company’s parts manufacturing work by 2006 but final assembly would be kept in house. If that outsourcing proceeds, about 50 to 60 more jobs would be lost, officials admit. The only possible silver lining in this storm cloud is that Raytheon says it is focusing on domestic sources for the work.
…More Outsourcing Is Planned
Key Takeaways:
- Raytheon announced a tentative decision to outsource a limited number of machined parts and precision assemblies, adding to existing tensions with the workforce.
- The company plans to outsource all parts manufacturing by 2006, retaining only final assembly in-house.
- This outsourcing initiative is expected to lead to the loss of 50 to 60 jobs.
- Raytheon stated it intends to focus on domestic sources for the outsourced manufacturing work.
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