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Us Senate Committee Criticizes Boeing Safety Practices and Faa Oversight

US Senate Committee Criticizes Boeing Safety Practices and FAA Oversight

WASHINGTON – On Wednesday, a U.S. Senate panel investigating Boeing’s (NYSE: BA) safety culture 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 production speed over quality.

In a memo, the committee’s Democratic staff said Boeing struggles to ensure employees are adequately trained, fails to ensure improper parts are not installed, and its quality inspection procedures. Moreover, 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 (NYSE: BA) 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 stated that an internal Boeing survey from May shows many machinists feel pressured to prioritize speed over quality during airplane production. It also noted that 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 (NYSE: BA) agreed to plead guilty to a criminal fraud conspiracy charge in July after breaching a 2021 agreement with DOJ.

(Source: ReutersReuters)

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Edward Cooke
Edward Cooke is a financial analyst, freelance writer, and editor. He has six years of experience in financial journalism. He has an in-depth understanding of equities markets, tracking major indices and providing real-time analysis on stock price movements, corporate earnings, and market sentiment.