Boeing will cut about 5% of its commercial airplane workforce because production is ramping up more slowly than planned.

Stephanie Pope, who runs the commercial unit, told staff in a memo that the division is overstaffed for its new plan.

The cuts will come through attrition and involuntary layoffs. Notifications start in December, with none expected in November.

The division had 50,494 employees at the end of 2025. That puts the cut at about 2,500 jobs.

CEO Kelly Ortberg said a big rise in 737 Max output is not expected until the second half of 2027.

Boeing is working to hold production at 47 Max jets a month. It is aiming for 52 a month in late 2027.

Ortberg also said Boeing would miss its 737 production and delivery targets this year.

The news came less than two weeks after Boeing cut its delivery outlook. Shares slipped about 1% on Monday.

The commercial backlog was over 6,300 planes at the end of the third quarter, valued at a record 612 billion dollars.

In the third quarter, the unit had about 10.7 billion dollars in revenue and an operating loss of 697 million dollars.

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