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Eclipse Aerospace Announces Layoffs

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Key Takeaways:

  • Eclipse Aerospace laid off an undisclosed number of employees last week due to unexpectedly low sales and reduced production plans, contradicting earlier announcements of filled delivery positions for its Eclipse 550 twinjet.
  • The layoffs occurred shortly after the company received over $630,000 in public funds from Albuquerque and New Mexico, tied to a contract to hire 100 new employees by the end of 2015.
  • Despite the current downsizing, the city of Albuquerque's economic development director anticipates that Eclipse Aerospace will still meet its contractual hiring obligations by reabsorbing staff once market conditions improve.
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At the end of last week, Albuquerque, New Mexico-based Eclipse Aerospace laid off an undisclosed number of employees, citing a lack of sales. Business at Eclipse appeared to be going well, as the company announced in March when it delivered the first Eclipse 550 twinjet that all delivery positions for 2014 had been filled. Eclipse Aerospace senior vice president Ed Lundeen told Albuquerque Business First that the company has been forced to reduce its production plans, which means fewer hands are needed.

While Eclipse would not say how many people were let go on Friday, the company had more than 200 employees at the time of the layoffs, including those employed at its offices in Charleston, South Carolina, and its service center in Chicago. The city of Albuquerque and the state of New Mexico contributed more than $630,000 in December to allow the company to hire new staff. As part of the contract with Albuquerque, Eclipse agreed to hire 100 people by the end of 2015, which would add up to a total number of 275 employees at that time, a statement from Gary Oppedahl, the city’s economic development director, said.

Pia Bergqvist

Pia Bergqvist joined FLYING in December 2010. A passionate aviator, Pia started flying in 1999 and quickly obtained her single- and multi-engine commercial, instrument and instructor ratings. After a decade of working in general aviation, Pia has accumulated almost 3,000 hours of flight time in nearly 40 different types of aircraft.

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