Manufacturer Forced to Warn 800 Space Launch System Employees

In an uncomfortable all-hands meeting, Boeing was forced to tell its 800+ Space Launch System (SLS) program employees to brace for mass layoffs. The announcement came after officials hinted at a debate within NASA leadership about the future of several space programs.

David Dutcher, vice president and program manager of Boeing’s SLS rocket, took the stage in front of the program’s approximately 800 employees on February 7. His “cold and scripted” six-minute speech, a listener described, indicated that Boeing’s SLS contracts could come to an end in March if NASA chose not to renew them.

"To align with revisions to the Artemis program and cost expectations, today we informed our Space Launch Systems team of the potential for approximately 400 fewer positions by April 2025," a Boeing spokesperson explained. "...We are working with our [customers] and seeking opportunities to redeploy employees across our company to minimize job losses and retain our talented teammates."

Aligning with an overall federal budgeting analysis, White House officials and senior NASA leadership have been rethinking several space programs. The most major debates have involved the SLS rocket and Artemis Moon programs. Janet Petro, acting NASA administrator, is pushing to let NASA fly the Artemis II and Artemis III missions with the original SLS rocket before closing up shop.

The SLS rocket is not cheap, with just one launch costing upwards of $2 billion plus related payload and ground system expenses. The program’s delays haven’t helped its case, with the first launch being pushed back from 2016 to 2022. Many critics argue that the “cost-plus” deals give contractors, like Boeing, an incentive to drag out funding by purposefully slowing down progress. Still, NASA has maintained its position that the SLS rocket is crucial to the Artemis project.

"NASA and its industry partners continuously work together to evaluate and align budget, resources, contractor performance, and schedules to execute mission requirements efficiently, safely, and successfully in support of NASA’s Moon to Mars goals and objectives," an agency spokesperson stated. "NASA defers to its industry contractors for more information regarding their workforces.

FMI: www.nasa.gov