Boeing's commercial jets unit to cut jobs in 2017

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Boeing Co's commercial airplanes unit said on Monday it would reduce its workforce in 2017, adding to the about 8 percent jobs the company has cut since the beginning of 2016.

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The company is offering a voluntary layoff program in early 2017, adding that involuntary layoffs may occur in some cases, Boeing Commercial Airplanes (BCA) said in an internal memo.

This year's job cuts include a 10 percent reduction of executives and managers.

BCA said it would focus on reducing non-labor costs next year amid a tough competitive environment for its aircraft business.

Boeing said last week that it would cut production of its twin-aisle 777 jetliner to five a month in August 2017, a 40 percent reduction from the current rate of 8.3 a month, as it spends more to produce new models.

Reuters reported in February that Boeing was considering layoffs of airplane engineers.

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A spokesman for the division said that employees participating in the voluntary layoff program will receive a lump sum payment of one week's pay for each year served, for a maximum of 26 weeks.

(Reporting by Anya George Tharakan in Bengaluru; Editing by Sriraj Kalluvila and Saumyadeb Chakrabarty)