Boeing CEO Dave Calhoun to step down amid aircraft safety concerns

Boeing CEO Dave Calhoun has announced he will step down amid the aerospace manufacturer's ongoing issues with safety and quality concerns.According to CNN, Boeing's chairman Larry Kellner and CEO of Boeing Commercial Airplanes Stan Deal will also be vacating their posts, with ex-Qualcomm CEO Steve Mollenkopf taking over as chairman and Stephanie Pope filling the role of CEO of Commercial Airplanes.

Boeing has grappled with defects in its 737 Max models for over five years now, including two fatal accidents involving 737 Max planes in 2018 and 2019.

In January 2024, an Alaska Airlines 737 Max experienced a severe door plug malfunction, causing a huge opening in the aircraft.

The incidents have resulted in multiple emergency groundings and more than $31 billion in losses for the company.

CEOs of several major airlines have expressed their displeasure with Boeing's management of ongoing problems. For instance, Ryanair CEO Michael O'Leary recently informed CNN that his firm found minor issues like "tools under floorboards and missing seat handles" after receiving deliveries of Boeing aircraft. This discontent has since urged some airlines to mull over acquiring airplanes from rival Airbus.

United Airlines, which relies on Boeing for over 80% of its mainline fleet, has been particularly vocal about quality issues and delays in planned deliveries. Issues with the certification of Boeing's 737 Max 10 have posed challenges for the airline, and as a consequence, United is now contemplating buying jets from Airbus.

In light of the ongoing safety concerns, the Federal Aviation Administration (FAA) has carried out an audit of Boeing's procedures, which revealed numerous "non-compliance issues." The company has been granted 90 days to devise a plan to address these problems, according to CNN. Additionally, Boeing is being investigated by the Justice Department.