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Extension of Temporary Furlough/Layoff

To address the ongoing challenges presented by the COVID-19 pandemic and the continued grounding of the 737 MAX, Spirit AeroSystems and the Wichita IAM have signed a Memorandum of Understanding (MOU) for an extension of the current temporary layoff.

Under this agreement, the temporary layoff can last up to 60 days for those employees currently on temporary layoff due to their working on or supporting the 737 program. This extended temporary layoff/furlough is planned to last through Friday, August 14.

The following key important points are being provided:

  • Since employees will be provided holiday pay for the 4th of July holiday, when filing your weekly unemployment claim for the week of June 28–July 4, you should annotate you received holiday pay for either/or July 3 or July 4. Failure to do so could result in a disruption in your unemployment benefits.
  • Spirit will continue coverage of health insurance for all IAM employees who are temporarily laid off with no interruption. While employees will continue to be responsible for their premium share, Spirit will defer collecting the employee's premium share until the employee begins receiving pay again. At that time, the back arrears will be recovered in 4 equal parts and if any additional arrears remain at time of lay-off, they will be waived.
  • Spirit will continue to make Pension contributions to the IAMNPF based on forty (40) hours per week for all IAM employees that are temporarily laid off.

While this extended temporary layoff will not guarantee additional layoffs, it is intended to reduce the number of permanent layoffs.

If you have questions about any of the items included with this letter, please contact your manager or HR Business Partner.

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