Disputes Reports Of As Many As 10 Percent Of Workers Laid Off

ANN REALTIME UPDATE 10.19.07 1900 EDT: Eclipse Aviation is taking pains to clarify earlier reports regarding the layoffs and staff reductions announced Friday morning by the Albuquerque, NM planemaker.

Eclipse maintains the majority of job cuts -- reported as somewhere between 100-150 -- applied to temporary workers and contractors, employed by a single agency. Only a small percentage of workers were full-time employees with health benefits, the planemaker told local media.

KOB-4 reports the job cuts are due to delays in ramping up to full production for the Eclipse 500 very-light-jet. The company will put out a call for more workers once the company achieves its goal of producting between 2-3 planes for day, the station adds.

The company declined to elaborate on the breakdown of the layoffs. Eclipse says over 1,500 workers remain under its employ in Albuquerque.

Earlier Reports

1500 EDT: In a statement to ANN, Eclipse Aviation disputed reports in local Albuquerque media, saying as much as 10 percent of the company's workforce was handed their walking papers Friday morning.

The company tells ANN the percentage of actual layoffs is less than that, adding the number of affected employees also includes some resignations, and "no-hire" workers.

Eclipse declined to publicly release actual figures.

1400 EDT: Eclipse Aviation announced Friday it will lay off roughly 10 percent of its Albuquerque, NM-based workforce, as the company switches focus to full-rate production.

City officials told KOB-4 they've heard between 100-150 employees were handed walking papers Friday. The planemaker employs roughly 1,500 people.

Company spokesman Andrew Broom told KOB the layoffs were in positions necessary to start production on the aircraft, but are no longer needed. Most of the employees were temporary workers, Broom added, and only a handful of "direct" employees were affected.

KOB reports some affected full-time workers were laid off due to "low performance ratings."

Eclipse CEO Vern Raburn told ANN the layoffs will not have a negative impact on production. The company has struggled to attain its earlier promises of producing between 2-3 planes a day; current production levels hover "around one plane per day," according to the KOB report.

Albuquerque mayor -- and recent candidate for the US Senate -- Martin Chavez stressed the workers affected in the layoffs should be able to find work shortly.

"They are contractors and it’s what they do for a living," said Chavez. "The job base in Albuquerque is really rich right now, so they’ll be fine."

"We will do everything we can to keep them and place them in the community," city Chief Administrative Officer Bruce Perlman added.

FMI: www.eclipseaviation.com