Boeing Insider Blows The Lid Off Company's DEI Crisis

By Alan Hume | Friday, 05 April 2024 04:30 PM
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In a recent interview with City Journal, an anonymous source within Boeing attributed the company's ongoing struggles to its diversity, equity, and inclusion (DEI) policies and a disconnect with upper management.

The source, who spoke with journalist Christopher Rufo, claimed that these issues have led to a compromise in safety standards, thereby endangering lives and damaging the company's reputation.

The source alleges that Boeing's DEI policies have resulted in hiring practices that prioritize diversity over qualifications. This, they argue, has led to a decline in the quality of work, which has in turn resulted in safety issues. The source's claims come at a time when Boeing is under intense public scrutiny following a series of safety incidents. These incidents have led to Boeing CEO Dave Calhoun announcing his intention to step down from his position at the end of 2024.

The source further argued that while some companies, such as those in the tech industry, can afford to hire diverse applicants at higher salaries to ensure quality, companies like Boeing do not have that luxury. "This can be catastrophic in lower-margin or legacy companies," the source told Rufo. "You are playing musical chairs, and if you do the same things that Google is doing, you are going to end up with the bottom 20% of the preferred population."

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The source also criticized the lack of commitment and understanding of the aviation industry among top executives. They pointed out that both the current CEO and CFO gained their experience at General Electric, not within the aviation industry. Furthermore, they claimed that these executives are disconnected from the average workers at the company, who would prefer to keep politics separate from business, unlike the DEI initiatives.

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"The headquarters in Arlington is empty," the source revealed. "Nobody lives there. It is an empty executive suite. The CEO lives in New Hampshire. The CFO lives in Connecticut. The head of HR lives in Orlando. We just instituted a policy that everyone has to come into work five days a week — except the executive council, which can use the private jets to travel to meetings. And that is the story: it is a company that is under caretakers. It is not under owners. And it is not under people who love airplanes."

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Boeing's safety issues have been under the spotlight since a door flew off a Boeing plane operated by Alaska Airlines in January, prompting a federal investigation. A preliminary report released in February found that the plane had no bolts upon take-off. This incident is the latest in a series of safety issues, including two crashes in 2018 and 2019 that resulted in the deaths of 346 people. These crashes led Congress to order an investigation, which revealed a disconnect between the company’s senior management and lower members about safety culture.

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The source also pointed out that the 2018 crash was the result of an engineering failure, a fact that then-CEO Dennis Muilenburg denied to Congress, defending the engineering of the plane. This defense led to a significant turnover at Boeing after changes were made at the company.

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"Boeing is just a symptom of a much bigger problem: the failure of our elites," the source said. "The purpose of the company is now ‘broad stakeholder value,’ including DEI and ESG. This was then embraced as a means to power, which further separated the workforce from the company. And it is ripping our society apart. Boeing is the most visible example because every problem — like, say, a bolt that falls off — gets amplified.”

Other airlines, including Southwest Airlines, American Airlines, and United Airlines, have also embraced DEI policies, often focusing on racial quotas when hiring.

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