General Electric announced plans Monday to lay off about 2,600 employees in its jet engine division as the coronavirus crisis deals a crushing blow to the aerospace industry.
GE Aviation said it will reduce its total US workforce by about 10%.
The division, GE's largest by revenue, employed about 52,000 people around the world at the end of 2019. GE confirmed that about half of those employees are based in the United States.
GE (GE) signaled that overseas aviation jobs may also be cut.
GE Aviation added that there will be a temporary lack of work impacting about half of its US maintenance, repair and overhaul employees for 90 days.
The moves are part of GE's efforts to save about $500 million to $1 billion in the aviation division, which was once the company's strongest. GE Aviation had previously instituted a hiring freeze, canceled merit salary increase and slashed non-essential spending.
David Joyce, GE's vice chairman and CEO of GE Aviation, will forgo half his 2020 salary. GE CEO Larry Culp also announced plans to forgo his full 2020 salary.