In its Q4 earnings report on Feb. 25, Wichita, KS-based Spirit AeroSystems shared details about major cost-cutting actions the company took in 2020.
Last year, Spirit — Boeing’s largest parts supplier — shed 8,000 commercial aviation jobs after starting the year with about 18,000 total employees.
The cuts came as Spirit closed multiple facilities, including plants in McAlester, OK and San Antonio, TX.
Meanwhile, Spirit consolidated more than 500,000-square-foot of Wichita warehouse space into a new, seven-story, 150,000-square-foot Global Digital Logistics Center.
Technology at the new facility is expected to enable more accurate, faster part handling and delivery to Spirit mechanics.
The company also implemented four-day work weeks for salaried employees in Wichita and cut executive salaries by 20% company-wide.
Overall, those consolidations are expected to produce $1 billion in annual savings.
Amid regulatory issues with Boeing’s 737 MAX plane, Spirit’s 2020 MAX production rate was down 49% from 2019.