financetom
Business
financetom
/
Business
/
US Senate committee faults Boeing safety practices, FAA oversight
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
US Senate committee faults Boeing safety practices, FAA oversight
Sep 26, 2024 10:31 AM

WASHINGTON (Reuters) - A U.S. Senate panel investigating Boeing's safety culture on Wednesday faulted the planemaker's quality practices and oversight by the Federal Aviation Administration citing documents obtained in an ongoing investigation.

The Senate Permanent Subcommittee on Investigations, which is holding a hearing Wednesday with FAA Administrator Mike Whitaker, said Boeing workers continue to feel pressure to prioritize speed of production over quality.

The committee's Democratic staff said in a memo Boeing struggles to ensure employees are adequately trained, fails to ensure improper parts are not installed and its quality inspection procedures and the FAA's review raises questions about qualifications and the independence of individuals performing inspections.

In some facilities, Boeing personnel are allowed to inspect their own work.

"Given the depth and history of Boeing's safety deficiencies, its lack of candor with the FAA, and the agency's reactive regulatory posture, the newly released information raises questions about the effectiveness of the FAA's oversight of the company," the committee said.

Boeing said it has "taken important steps to foster a safety culture that empowers and encourages all employees to share their voice, but it will require continuous focus."

The FAA did not comment but Whitaker said at a House hearing Tuesday that Boeing needed to undertake significant safety culture improvements that might not be completed for years.

The committee disclosed details of an FAA audit completed after a door plug missing key bolts blew off a new Alaska Airlines 737 MAX 9 jet at 16,000 feet in January.

The Justice Department and FAA are investigating.

The 116-page FAA letter details 97 Boeing allegations of noncompliance that span "issues in Boeing's manufacturing process control, parts handling and storage, and product control." The audit found 23 examples where employees "failed to follow processes or lacked proficiency," the memo said.

Whitaker has barred Boeing from expanding MAX production until it makes major quality improvements.

The committee said an internal Boeing survey from May shows many machinists feel pressured to prioritize speed over quality during airplane production and said the FAA identified quality inspection deficiencies at Boeing in 2017.

Whitaker's written testimony for the Senate hearing says the FAA will "expeditiously provide notice, in real time, of any activities that may be criminal so that DOJ can take any action they deem appropriate."

Boeing agreed to plead guilty to a criminal fraud conspiracy charge in July after breaching a 2021 agreement with DOJ.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Russia weighs risk of embracing crypto for international payments
Russia weighs risk of embracing crypto for international payments
Jul 17, 2024
MOSCOW (Reuters) - Russia should accelerate the creation of infrastructure for payments in cryptocurrencies but carefully weigh the associated risks, its money laundering watchdog said on Wednesday, ahead of a parliamentary vote on digital assets legislation. Russia has faced significant delays in international transactions with major trading partners such as China, India, the United Arab Emirates and Turkey, after local...
Riot Platforms Unusual Options Activity For July 17
Riot Platforms Unusual Options Activity For July 17
Jul 17, 2024
High-rolling investors have positioned themselves bearish on Riot Platforms ( RIOT ) , and it's important for retail traders to take note. This activity came to our attention today through Benzinga's tracking of publicly available options data. The identities of these investors are uncertain, but such a significant move in RIOT often signals that someone has privileged information. Today, Benzinga's...
Why Shimmick Corp Shares Are Up Today (CORRECTED)
Why Shimmick Corp Shares Are Up Today (CORRECTED)
Jul 17, 2024
Editor’s note: Shares of Shimmick Corp Were Up 44% At The Time Of Publication Shimmick Corporation ( SHIM ) shares are trading higher Wednesday after the company announced it has signed a $27.6 million subcontract for electrical work on the Sunol Valley Water Treatment Plant Ozonation project. The Details: Shimmick ( SHIM ) made the announcement after the closing bell Tuesday...
Lucid Gr Unusual Options Activity For July 17
Lucid Gr Unusual Options Activity For July 17
Jul 17, 2024
Investors with significant funds have taken a bearish position in Lucid Gr , a development that retail traders should be aware of. This was brought to our attention today through our monitoring of publicly accessible options data at Benzinga. The exact nature of these investors remains a mystery, but such a major move in LCID usually indicates foreknowledge of upcoming...
Copyright 2023-2026 - www.financetom.com All Rights Reserved