Matías S. Zavia
WriterNASA’s Space Launch System (SLS) rocket development has cost around $3 billion annually so far, with each launch expected to add another $2 billion to the total. The Boeing-built SLS is often regarded as an expensive and outdated option compared to SpaceX’s Starship and Blue Origin’s New Glenn. However, since those alternatives aren’t ready for lunar missions, Boeing didn’t foresee the possible cancellation of the SLS until now.
A six-minute meeting. David Dutcher, Boeing’s program manager, met with around 800 SLS employees on Friday. He informed them that their contracts could end in March under the new NASA administration. He also mentioned that the company was preparing for further layoffs if the contracts weren’t renewed.
Ars Technica reported that the meeting was scheduled with less than an hour’s notice. Dutcher had prepared his remarks in advance and remained calm during the announcement. However, according to an anonymous source obtained by the outlet, he didn’t take any questions from the attendees.
Context. The SLS is NASA’s rocket designed to facilitate a return to the Moon. It’s also one of the most controversial components of the Artemis lunar program. Boeing led the development of the SLS, which began in 2011. The goal was to leverage technologies and components from previous programs, such as the Space Shuttle.
While this strategy enabled the reuse of earlier infrastructure and expertise, it also resulted in challenges when integrating modern systems with established hardware. As a result, the SLS has faced numerous delays and cost overruns.
From rumor to real possibility. Initially, the idea of canceling the SLS was merely a rumor. However, it gained traction as a genuine possibility when President Donald Trump was reelected and nominated entrepreneur Jared Isaacman to lead NASA.
The first Trump administration initiated the Artemis lunar program in 2017. However, his second term seems to be influenced by SpaceX CEO Elon Musk. Trump now plans to focus on reducing NASA’s public spending by up to 30% and may shift his attention towards colonizing Mars.
Boeing is preparing for the worst. Congress has yet to make any decisions regarding NASA’s budget or potential restructuring of the Artemis missions. Additionally, there’s currently no plan to reach Mars. NASA was initially expected to establish a base on the Moon before making a leap to the Red Planet.
However, Boeing is acting cautiously as the White House prepares a budget proposal with adjustments for fiscal year 2026. The company is required by law to provide employees with 60 days’ notice in the event of mass layoffs or plant closures, which prompted the urgent meeting with the SLS program team on Friday.
Boeing’s official statement. Boeing acknowledged the potential for job reductions, confirming that it may lay off 400 employees in April 2025 to align with revisions to the Artemis program and expected budget changes.
“We are working with our customer and seeking opportunities to redeploy employees across our company to minimize job losses and retain our talented teammates,” a Boeing spokesperson said.
Image | Kim Shiflett/NASA
Related | Jared Isaacman Isn’t in Charge of NASA Yet. However, He’s Seen as a Key Factor to Boeing’s Downfall
View 0 comments