If Raytheon is primarily a defense contractor, like Lockheed, and government contracts have not yet been affected, why is Raytheon tightening its belt across the board? Are they simply anticipating a drop in revenue, or have they actually lost business already?
3 replies (most recent on top)
I agree with @xvo+15381c8k. The current RayTech president was a UTC executive, and there are more UTC, than Raytheon execs on the board. This was a "friendly takeover" of Raytheon. I would imaging that Pratt and Whitney will take a hit since they make Airline engines. That "hit" will probably be spread across all of the divisions.
Raytech is also betting heavily on early retirements to make up for the manpower overage. Good luck with that. Raytheon portion of Raytech is in for some difficult times in the near future.
Where did you hear Raytheon is tightening its belt "across the board?"
My understanding is that legacy Raytheon still continues to hire for new positions and is not facing furloughs / pay cuts.
Meanwhile, only SOME employees with Pratt & Whitney / Collins Aerospace who aren't direct charge are seeing furloughs / pay cuts (as usual, they're and choosing which folks they're exemptinf with no rhyme or reason).
Pre-Merger Raytheon may be asked to "pony up" for good will "optics". After all, we are "one company", and pre-merger Raytheon is the acquire'ee not the acquire'er. :-(