According to an email seen by the mediaPowerballwinningnumberstonight2021, US defense contractor L3Harris Technologies (LHX)Powerballwinningnumberstonight2021Chris Kubasik, the chief executive, said in an email to employees that the company would cut 5 per cent of its jobs this year as part of cost-saving measures. It is reported that as of the end of last year, the company had about 50,000 employees. This means that the layoffs will involve about 2500 employees.
Layoffs are not evenly distributed, but are aimed at eliminating redundancy in all functions of the company, according to a person familiar with the matter. People familiar with the matter added that the layoffs were not necessarily concentrated in the Aerojet Rocketdyne division, which L3Harris acquired for $4.7 billion in December 2022.
A spokesman for L3Harris said in a statement that L3Harris was "resizing" its staff as part of streamlining operations to meet its LHX NeXt commitment to save $1 billion in costs over the next three years, but did not confirm the number of employees affected. The LHX NeXt commitment is L3Harris's multi-year plan to cut costs and improve operational efficiency.
L3Harris said in December that it would suspend M & An activity for the "foreseeable future" to strengthen its balance sheet. The company also outlined priorities for capital deployment over the next two years, including R & D investment and debt repayment, as well as the use of excess cash to increase dividends and share buybacks. The company also announced that its board of directors had appointed a special committee to review the company's operating performance, cost structure and portfolio composition.
L3Harris was formed by the merger of L3 Technologies and Harris Corp in 2019, and its customers include the Pentagon, aircraft manufacturer BA.US, and defense and aerospace giant RTX (RTX.US).
