Allen and Dan discuss further cuts in the airline industry, with Airbus announcing 15,000 job cuts. The 737 MAX completing flight testing this week and future prospects are perhaps improving. Lastly, Pakistan has a huge scandal on their hands--is it really possible that up to 40% of pilots there have fake licenses?

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Full Transcript: EP16 - Airbus Cuts Jobs; 737 MAX Testing and the Pakistan Pilot License Scandal

Alan, how you doing

Allen Hall: right boy, busy week aviation. Huh? A lot. A lot of things are changing. Yeah, yeah,

Dan: yeah. A lot of stuff's going on. So, um, let's jump right into that. So Airbus. It's cutting 15,000 jobs. How, and that's a big deal.

Allen Hall: It's a big deal because in America I was thinking about European companies never laying off anybody or, or just letting people retire out of, out of, out of the industry.

But at Airbus needs to make cut backs pretty quickly. Uh, they got to maintain their financial stability here and with the, uh, the market in the airline industry where a lot of airlines in the United States are only flying at about half, half, or maybe three quarters is what they're thinking going forward.

Like Delta is thinking about getting to basically a three quarters aircraft level. There's just not going to be huge demand for new aircraft. Immediately. So whatever they've been building in the last couple of months is probably going to be it until the airline industry catches up. So they're talking about by the sometime next year, 5,000 employees in France, 5,100 in Germany, 1700 in Britain, 900 in Spain and 13 others.

Elsewhere. There is a, obviously a factory and Airbus factory down in Alabama and out of state. There's also a Airbus, um, engineering office in Wichita, Kansas, and maybe a couple others, but, um, this is a far reaching kind of lay off and it's, it's going to be hard for Airbus once he let those people go to sort of get them back.

So if the industry does pick up pretty quickly, It's going to be hard to find those people. It seems like the American economy is going to pick up relatively quickly compared to some others. So in the engineering world, once you lose those engineers, they're going to find some other place to go. It's more stable and it's going to be really difficult, really difficult to get those people back.

Dan: Uh, so yeah, air, air buses, shedding, a lot of workers. Um, I mean, do you see this being. I mean, Boeing is doing similar things. Like we just heard that Dave, they have a lot of their orders are getting canceled. They are also cutting production of the 747. So right before we get back to Airbus, uh, how do you, what's the story of the 747?

Why, why do they need to get rid of that airplane? Just laying it did not do what it was supposed to do.

Allen Hall: The aircraft is built in the seventies and it's been around about 50 years.