Lockheed to trim 500 positions; Alabama impact uncertain
HUNTSVILLE, AL (WAFF) - Lockheed Martin is laying off some 500 employees in a workforce reduction.
The reduction in force will be within its Information Systems & Global Solutions (IS&GS) segment by mid-November, 2015.
Lockheed says this action is in response to shifting government priorities, changing industry dynamics and efforts to improve IS&GS competitiveness.
Will there be an impact in Huntsville/ North Alabama?
Dan Nelson from Lockheed Martin, "We don't know where the majority of the layoffs will occur because our employees are located in multiple U.S. locations," said Dan Nelson. "We will have more details once we know which employees decide to participate in the voluntary layoff program."
Lockheed's IS&GS has more than 21 thousand U.S. employees across multiple locations including the Washington, D.C. area, Colorado, Pennsylvania and Texas.
Lockheed Martin announced in July, 2015 that it would conduct a strategic review of its government IT and technical services businesses, primarily in the IS&GS business segment. The layoffs, while unrelated to the review, are part of a larger effort to optimize IS&GS' resources and align them to customers' existing needs and the business climate.
The workforce reduction includes voluntary and involuntary layoffs.
"We made these difficult decisions as part of our efforts to remain competitive in an extremely challenging environment where industry dynamics have shifted, customer budgets are constrained and competition has continued to escalate," said Sondra Barbour, executive vice president of Lockheed Martin IS&GS. "Continuing to reduce our overhead costs, is expected to enable us to be a much leaner and more agile organization which is what is needed to compete effectively."
"I understand the impact that this announcement will have on our employees," Barbour added. "This is not a decision that was made lightly and Lockheed Martin remains committed to its employees and in positioning the business for future success."
Copyright 2015 WAFF. All rights reserved.