Report: Embraer to institute voluntary layoffs

The Brazilian aircraft manufacturer did not provide any additional details in terms of the number of positions or cost reduction targets, but the union representing Embraer’s workers said the company is looking to save $200 million with the program.    Brazilian aircraft Embraer SA will institute a voluntary layoff program, according to a report from the Wall Street Journal.
   A spokesperson for Embraer confirmed the program to WSJ, but did not provide any additional details in terms of the number of positions or cost reduction targets.
   The labor union representing Embraer’s workers, however, said in a statement Tuesday the company, which employs around 17,000 people, is seeking $200 million in savings from the program.
   Embraer last month reported a loss of 337.3 million Brazilian reais (U.S. $106 million) in the second quarter of 2016 compared with a 399.6 million reais profit the previous year. The company attributed the loss primarily to a $200 million write down associated with an investigation by the U.S. Securities and Exchange Commission and Department of Justice into alleged violations of the U.S. Foreign Corrupt Practices Act.