Boeing’s Puget Sound Job Cuts Have Unions Questioning Billions in State Tax Breaks

Boeing (BA) plans to move about 2,000 engineering jobs from Washington state to other, lower-cost regions over the next three years. That news, announced Monday, came less than 11 months after state lawmakers approved the most lucrative package of tax incentives in U.S. history—$8.7 billion—so Boeing would keep its new 777X program in the area. Given Boeing’s record of moving jobs to states with lower wages, union members in the Puget Sound area are grumbling that Washington’s political leaders missed a critical chance to tie employment to tax breaks.

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When a Regional Airline Fades, Big Planes Are the First to Go

American Airlines (AAL) has decided to shift 47 larger jets away from its Envoy regional carrier. It’s a move designed to streamline operations, allowing Envoy to focus on a single plane. But it might also be a sign of the beginning of the end.

PSA Airlines, another regional unit absorbed in American’s merger with US Airways, will take the 76-seat Bombardier (BBD/B:CN) CRJ-700 jets given up by Envoy in 2016. The shift will leave Envoy—formerly known as American Eagle—with 152Embraer (ERJ) jets that seat 50 passengers or fewer.

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