*

Boeing ( BA ) had furloughed salaried employees during a

seven-week

strike

*

Plans to cut 17,000 jobs, or about 10% of its global

workforce

*

Engineers to be notified of job cuts on Nov 15, union says

(Adds email confirmation, more details in paragraphs 2-9)

By David Shepardson

WASHINGTON, Nov 7 (Reuters) - Boeing ( BA ) CEO Kelly

Ortberg said on Thursday that employees furloughed during a

seven-week strike by factory workers would be repaid by the

company for lost wages, but it would proceed with plans to cut

about 10% of its global workforce.

Boeing ( BA ) furloughed thousands of salaried employees on a

rolling basis after the strike by 33,000 union machinists began

in September and halted production of its best-selling 737 MAX.

But the planemaker later canceled the unpaid leave after

announcing plans to cut 17,000 jobs.

"Your sacrifice made a difference and helped the company

bridge to this moment," Ortberg told staff in an email seen by

Reuters. "We want to acknowledge your support by returning your

lost pay if you went on unpaid furlough."

Boeing ( BA ) is dealing with morale issues as it moves ahead

with its job cuts, with many of the employees due to be notified

about the future of their roles this month.

"We will continue forward with our previously announced

actions to reduce our workforce levels to align with our

financial reality and a more focused and streamlined set of

priorities," Ortberg wrote to staff. "These structural changes

are important to our competitiveness and will help us deliver

more value to our customers over the long term."

A spokesperson for the Society of Professional Engineering

Employees in Aerospace, which represents Boeing ( BA ) engineers, said

earlier it was informed that 60-day notices of job losses would

be issued to its members on Nov. 15.

Boeing ( BA ) on Monday won ratification of a contract giving

its machinists a 38% pay hike over four years and a $12,000

bonus, ending the strike.

Those workers are due back by Nov. 12. Boeing ( BA ) has not

said yet when it plans to resume production of the 737 MAX, but

has indicated it will be gradual and under regulatory scrutiny.

The planemaker has racked up losses of nearly $8 billion

this year as it continues to wrestle with a quality crisis from

a January mid-air panel blowout.

"We have hard work ahead to restore our company and

deliver on our customer commitments, but we are on the right

path and making the right changes," Ortberg wrote.

Boeing ( BA ) raised $24 billion in fresh capital last month to

shore up its finances. Ortberg said last month he is reviewing

Boeing's ( BA ) businesses and long-term forecasts.

The company may end up selling some assets, as it downsizes

its workforce to focus on the company's key civil planemaking

and core defense units.

Ortberg's email was reported earlier by the Air Current,

an aviation industry publication.