The Boeing Company (NYSE:BA) survey showed that employees felt pressure from managers on safety approvals
A 2016 internal survey at Boeing showed a third of employees polled felt “potential undue pressure” on the job, including for safety approvals, according to documents received by lawmakers investigating the manufacturer’s 737 Max plane following two fatal crashes.
Some employees in the commercial aircraft unit complained about high workloads and schedule pressure, showed the survey, which was based on 523 responses.
The survey, reviewed by CNBC, wasn’t conducted specifically about the 737 Max plane, which has been grounded since mid-March in the wake of two crashes — a Lion Air flight in Indonesia in October 2018 and an Ethiopian Airlines 737 Max in March — that killed all 346 people on the planes.
The survey was received by the House Transportation and Infrastructure Committee, which is investigating the beleaguered plane’s development and the Federal Aviation Administration’s approval of the jets, Boeing’s best-seller, in 2017. The 2016 survey, conducted toward the end of the approval process for the planes, was not provided to the committee by Boeing.
The survey, reported earlier by The Wall Street Journal, said some of the stresses were related to safety compliance activities. Certain Boeing employees performed certification tasks for the planes before the FAA’s final signoff, a longstanding practice.
Messages revealed concerns about 737 Max
The latest revelation comes on the heels of a tough week for Boeing, which on Friday posted its worst day on Wall Street since February 2016 with a loss of 6.79%.
The downturn on the week’s final day of trading came after messages showed that a Boeing pilot warned about problems with the flight-control program on the 737 Max before the FAA approved the plane for public use in 2017. The Boeing pilot said in one of the messages that a flight-control system known as MCAS was difficult to control.
In a 2016 exchange made public on Friday, a former top Boeing pilot warned a colleague that MCAS behaved aggressively in a simulator. Months later, the pilot told the FAA to delete MCAS from training materials, according to emails.
That flight-control system and pilots’ inability to recover from its failure have since come under fierce scrutiny by regulators after it was implicated in both crashes. It malfunctioned during both flights, repeatedly pushing the nose of each plane down until their final, fatal dives.
The FAA publicly scolded Boeing for not releasing the messages earlier.
“We are continuing to investigate the circumstances of this exchange, and are committed to identifying all the available facts relating to it, and to sharing those facts with the appropriate investigating and regulatory authorities,” Boeing said in a statement on Sunday.
The company defended its pilot training requirements for the 737 Max, which debuted in 2017. Some pilots complained that they weren’t informed about MCAS until after the first crash.
“We understand entirely the scrutiny this matter is receiving, and are committed to working with investigative authorities and the U.S. Congress as they continue their investigations,” said Boeing’s statement. Boeing did not immediately respond to a request for comment about the survey.
Overall, the bias in prices is: Downwards.
The projected upper bound is: 363.35.
The projected lower bound is: 324.96.
The projected closing price is: 344.15.
A big black candle occurred. This is bearish, as prices closed significantly lower than they opened. If the candle appears when prices are “high,” it may be the first sign of a top. If it occurs when prices are confronting an overhead resistance area (e.g., a moving average, trendline, or price resistance level), the long black candle adds credibility to the resistance. Similarly, if the candle appears as prices break below a support area, the long black candle confirms the failure of the support area.
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 25 white candles and 24 black candles for a net of 1 white candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 5.9360. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a buy 10 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 29.81. This is where it usually bottoms. The RSI usually forms tops and bottoms before the underlying security. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 110 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -343.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 10 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 18 period(s) ago.
Rex Takasugi – TD Profile
BOEING CO closed down -25.060 at 344.000. Volume was 156% above average (trending) and Bollinger Bands were 15% narrower than normal.
Open High Low Close Volume___
369.070 369.070 344.000 344.000 2,075,014
Short Term: Oversold
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 370.11 363.98 369.44
Volatility: 41 34 35
Volume: 696,855 745,054 981,629
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
BOEING CO is currently 6.9% below its 200-period moving average and is in an downward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term. Our volume indicators reflect volume flowing into and out of BA.N at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on BA.N and have had this outlook for the last 8 periods. Our momentum oscillator is currently indicating that BA.N is currently in an oversold condition.