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Boeing CEO is cutting private jet use as executives cut costs.
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The company instructed the management to move the economy with commercial flights instead.
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Boeing is looking for ways to save money after a difficult year.
Boeing’s new CEO is slashing the cost of the company’s executive jets in a bid to cut costs.
Boeing’s CEO, Kelly Ortberg, has set up several private jet companies and is now advising executives to fly more economy and commercial jets, Bloomberg reported.
Data from flight tracker Flightradar24, compiled by Bloomberg, shows that Boeing’s number of private jets fell from 146 in August to 56 in September and just 29 in October.
Boeing corporate jets flew a combined 4,500 hours on 1,800 flights in 2023, according to data from flight tracking website JetSpy. That amounts to $14 million in fuel and about 22,500 tons in CO2 emissions.
Boeing revealed in an April SEC filing that the air travel of only four executives amounted to $ 1.9 million from 2021. According to CNN, the former CEO of Boeing Dave Calhoun air travel cost $ 979,000 at that time.
Ortberg’s efforts to reduce costs are part of an attempt to get back on track after a difficult year for Boeing. Since January, Boeing has faced ongoing problems, including two astronauts stranded on the International Space Station for months due to mechanical problems with the CST-100 Starliner spacecraft.
The company also faced criticism after a door plug fell off during an Alaska Airlines flight, the exit of company executives, production delays, and more.
In September, thousands of union workers walked out after contract negotiations failed. That cost Boeing an estimated $50 million a day, according to Bank of America.
The seven-week strike ended in early November when Boeing union workers approved a new contract proposal.
Boeing did not immediately return a request for comment from Business Insider.
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