Boeing, Boeing, gone.

7 Jan

The people of Wichita are grumbling about this week’s announcement by Boeing, that will pull its 2.160 jobs, and all work out of their sprawling compound in southeast Wichita.

Kansas Governor Sam Brownback

Union members are bitter. Not long ago, they signed a new contract that gave them hope, if not promises of continued jobs in Wichita. Politicians are just as upset, because they’re the ones who were really made to look foolish. Governor Sam Brownback is disappointed, as is Senator Pat Roberts. State Representative Mike Pompeo is pissed. Former Representative Todd Tiahrt is silent, for the most part.

Boeing Wichita

Brownback, Roberts and then Representative Todd Tiahrt used an amazing amount of influence on Capitol Hill over the past decade, to get the Air Force Tanker project awarded to Boeing. The surely felt they had bought Boeing’s commitment to stay in Kansas, but there was no bill of sale.

You see, if Brownback, Roberts, Tiahrt and Pompeo had a signed document promising jobs for the tanker deal, Boeing would have been accused of buying their way into a $35 billion Air Force contract to supply aerial refueling tankers. That’s not to say that would have been the first time Boeing had been accused of using their clout to swing a Capitol Hill vote.

But the politicians have been forced to admit that all they had was a wink and a nod, and maybe an under-the-table handshake from Boeing to cement the jobs-for-contract deal. Pompeo is still stomping up and down, hoping to attract enough attention to Boeing’s shady practice of getting the girl, then leaving town before the marriage to cause the company embarrassment. Good luck, Mike.

Boeing will vacate their hangers, offices and plants by the end of 2013, although the layoffs will start early in the 3rd quarter of this year. Some of the workers will be allowed to transfer and follow the work to other cities and states, but not all. Boeing’s evacuation from Wichita will sting, a lot, for a long time. But economists predict that back-fill from other aviation jobs will offset the losses, in time.

The lesson learned from this set of events should be that agreements between government and business need to be reduced to writing. If a deal could be embarrassing, or illegal and you don’t want to put it in writing, then don’t do the deal! That’s transparent government. And good business.