Lockheed Martin Space Division Plans Layoffs for 1,200 Employees

The Multi-Purpose Crew Vehicle being assembled and tested at Lockheed Martin's Vertical Testing Facility in Colorado
The Multi-Purpose Crew Vehicle being assembled and tested at Lockheed Martin's Vertical Testing Facility in Colorado (Image credit: Lockheed Martin)

WASHINGTON — Lockheed Martin Space Systems plans to eliminate 1,200 jobs across the United States by the end of the year in order to "address affordability and improve its competitive posture," the company announced Tuesday (June 14).

The most significant work force reductions will occur at Lockheed Martin Space Systems' Denver headquarters as well as in Sunnyvale, Calif., and the Delaware Valley region of Pennsylvania, where the firm has several development programs that are now transitioning to production, the company said in a statement. Middle management ranks will be reduced by 25 percent, according to the statement.

Lockheed Martin Space Systems currently employs some 16,000 people. The company is NASA's primary contractor for the Multi-Purpose Crew Vehicle, a capsule-based spacecraft for deep space exploration missions to an asteroid, Mars or elsewhere. [Photos: NASA Spaceship for Deep Space Flights]

"In today's economic environment, we have two choices: make painful decisions now or pay a greater price down the road," Lockheed Martin Space Systems Executive Vice President Joanne Maguire said in the statement. "This is a difficult but necessary action to improve efficiencies and make our business more competitive going forward. We will remain relentlessly focused on achieving operational excellence and mission success for our customers as we position to deliver more affordably in the future."

The company will offer voluntary layoffs to eligible employees to minimize the number of involuntary layoffs, the statement said. Lockheed Martin will provide career transition support to affected employees, the statement said.

This article was provided by Space News, dedicated to covering all aspects of the space industry.

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SpaceNews defense reporter

Turner Brinton is the director for public relations at Maxar Technologies, a space technology company based in Westminster, Colorado that develops satellites, spacecraft and space infrastructure. From 2007 to 2011, Turner served as a defense reporter for SpaceNews International, a trade publication dedicated to the global space industry. He left SpaceNews in 2011 to work in communications for Intelsat and later DigitalGlobe before joining the Maxar team.