Defense manufacturer Raytheon Technologies plans to cut 15,000 jobs across its commercial airline services.
The cuts are expected to hit Raytheon’s child companies, Pratt & Whitney and Collins Aerospace in Connecticut and North Carolina.
David Cadden is an entrepreneurship professor at Quinnipiac University. He expects Raytheon’s defense side will keep the company afloat.
"They should be in a great position. The products they produce, most of them are right on schedule. There’s no major budget issues with them and the products they produce are essential. So I think the Raytheon component will be in a very, very good position," Cadden said.
Raytheon shares went up almost 2% following the layoff announcement.
In July, Rathyeon said it would cut 8,000 workers because of reduced passengers amid the pandemic.
Raytheon CEO Greg Hayes says with air traffic down 45%, he doesn't expect the industry to recover until 2023.