Raytheon Technologies (RTX) – Get Report shares were slipping on Thursday after the aerospace and defense giant said the company would be eliminating more than 15,000 jobs due to the slowdown in the airline industry brought on by the coronavirus pandemic shutdown.
“Those head-count reductions are nearly double the previous estimate of about 8,500 that we gave you back in July,” Chief Executive Greg Hayes said on a Morgan Stanley investor-and-analyst call on Wednesday.
Shares of the Waltham, Mass., company at last check were down 1.2% to $62.15.
Hayes said selling, general and administrative expense would be cut roughly 20% at Pratt & Whitney of East Hartford, Conn., and about 12% at Collins Aerospace, based in Charlotte.
The job cuts are part of $2 billion in overall cost reductions and $4 billion in cash conservation for the company in 2020.
Hayes said the company’s defense business “remains resilient