MONTREAL/CHICAGO — Aerospace suppliers are drawing up plans to lay off workers as coronavirus quarantines cripple their cash balances - but bailout conditions and fears of losing critical skilled labor are forcing managements to juggle survival and future growth. The coronavirus epidemic, which has surpassed 878,000 known cases globally, has battered aviation as airlines ground planes everywhere, sending ripples through a global supply chain. "With the airlines not flying, they're not ordering new planes; they're not taking delivery of planes that are coming off the line. They're not servicing the planes, so even the aftermarket has dried up," Eric Fanning, chief executive of the U.S. Aerospace Industries Association, told Reuters. Many suppliers - especially those who make structural parts and lack a recurring market for repairs and replacements, unlike makers of limited-life components - are having to face hard choices over furloughing staff as they try to conserve cash.

Source: International New York Times April 02, 2020 12:22 UTC