by greeney2 » Mon Nov 12, 2012 9:32 am
I would not make much out of the Boeing news. I worked for them as one owner of my division from 95 to 2006, but what they did is very common in aerospace. Work always slows when a Presidential change nears, lots of uncertainty, and it is also the holidays. That is why one company told the workers, this may happen. Fiscal year starts in October for many of these places, when their budget money starts and stops. That is why you see lots of overtime to use up budgets, or they will get them again. They also have a agreement with the unions, to not lay off in the holidays, so more may come in January, is my guess. Yes, Obama probably means certain contracts will not go through, and defense is being cut. The stealth fighter was reduced, in flight refueling aircraft I think, and probably many other programs. I am sure you will see hits in the missile defense shields/starwars programs.
What is bad is all these big divisions, also sub out work locally to local machine shops, who are going to get flattened with these cutbacks. They are required to sub out 20% of these big contracts, and one reason the government grants them. To put dollars into cities and these areas, so remember that next time you curse the defense industry, it provides countless local jobs in small business. That was also Romneys thinking.
