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By Scott Hamilton

Dec. 2, 2024, © Leeham News: Boeing gets all the attention for late deliveries, higher costs, and bloated staff. However, Airbus isn’t immune to similar problems.

Late deliveries and missing delivery targets are well known. Supply chain issues, which Airbus and Boeing have identified, are one problem. Engines delivered late by CFM, GE, Pratt & Whitney, and late interiors from Safran and Collins (among others) are most often cited. But other suppliers down the food chain also struggle to keep up with pressure to increase production rates. Many are still coping with workforce shortages rooted in the COVID-19 pandemic recovery.

Boeing has a bloated workforce. Last month, it began laying off 10% of its 170,000 person workers.

Airbus also has a bloated workforce. However, under European labor laws, it can’t freely implement layoffs like its US rival can.

The result: productivity per employee suffers, and costs climb. A review of the Commercial division's employee headcount provides a stark picture.

The Commercial unit had 22.7% more employees at the end of 3Q2024 vs Dec. 31, 2022, when the pandemic was widely considered to be over. It has 23.8% more employees than on Dec. 31, 2020, when the pandemic was in full swing.