WASHINGTON — The American aviation leader Boeing has faced a challenging year in 2024, marked by ongoing strikes, safety issues, and a declining stock price. The company’s situation worsened when a tragic incident occurred involving one of its aircraft in South Korea, resulting in the fatalities of all but two of the 181 passengers aboard, bringing the year to an unfortunate close.
Currently, the investigation into the crash is still underway, but aviation experts have been quick to clarify that this incident should not be associated with Boeing’s previous safety complications. Alan Price, a former chief pilot at Delta Air Lines and now a consultant, expressed that it would be misguided to connect this latest event to the two deadly crashes of the 737 Max model in 2018 and 2019. Earlier this year, the discovery of a door plug that blew off a 737 Max during a flight raised more concerns regarding the aircraft’s safety.
The Boeing 737-800, which crash-landed in South Korea, is noted by Price as a well-established and reliable model. He emphasized that this aircraft is distinct from the 737 Max and is considered to have a strong safety record. Boeing has historically been a significant player in American manufacturing, but the last year has seen a decline in its fortunes, with the company’s stock dropping over 30% in 2024.
The reputation of Boeing took a serious hit following the disasters involving the 737 Max, which led to the loss of 346 lives in crashes that occurred in close succession in 2018 and 2019. Since then, the company has suffered losses exceeding $23 billion and has begun to lag behind its European competitor, Airbus, in both aircraft sales and deliveries.
In the latter part of the previous year, tens of thousands of Boeing machinists engaged in a strike that severely disrupted the production of the 737 Max, its most popular model, alongside the 777 and 767 aircraft. The walkout lasted for seven weeks, concluding with a contract that provided machinists with a substantial raise of 38% over a four-year period.
Earlier in January, another complication arose when a door plug blew off a 737 Max during an Alaska Airlines flight, prompting federal regulators to impose production restrictions on Boeing airplanes until they could ensure manufacturing safety. Additionally, in July, Boeing faced legal challenges and agreed to plead guilty to a charge of conspiracy to commit fraud, stemming from misleading the Federal Aviation Administration regarding the 737 Max’s safety features.
The FAA, based on Boeing’s incomplete information, permitted minimal computer-based training to substitute for what would have been extensive simulator training, thus lowering costs for airlines but raising concerns regarding aircraft safety. Prosecutors, however, indicated they lacked the evidence to prove that Boeing’s deception directly contributed to the crashes.
Most recently, a Texas federal judge, Reed O’Connor, opted to reject the plea deal. He expressed concerns that inclusivity, diversity, and equity policies could lead to bias in selecting a compliance overseer for Boeing as part of the agreement.
In response to these ongoing challenges, Boeing has been making efforts to transform its corporate culture. Under mounting scrutiny over safety, CEO David Calhoun stepped down in August. Since the beginning of the year, around 70,000 employees have engaged in discussions aimed at enhancing safety practices within the organization.
