Boeing CEO admits company has retaliated against whistleblowers during Senate hearing: ‘I know it happens’
Kicking off his testimony at the special committee on Tuesday, Calhoun apologized to the families of Boeing crash victims who were present
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The CEO of Boeing has admitted the company retaliated against whistleblowers who have spoken out against alleged production malpractices, telling a special Senate hearing: “I know it happens.”
David Calhoun apologized to the families of Boeing crash victims, saying the manufacturer was “totally committed” to future saftey improvements, as he began testimony at the committee on Tuesday.
It comes as the embattled aircraft manufacturer faces a string of lawsuits relating to malpractice, after a door plug of a 737 Max 9 blew off during an Alaska Airlines flight in January.
Multiple whistleblowers have since come forward with concerns about violations of safety during production inspections, and many have claimed they were “retaliated” against by Boeing.
Asked about how many Boeing employees had been disciplined for retaliating against whistleblowers, Calhoun responded: “I don't have that number on the tip of my tongue, but I know it. I know it happens.”
Senator Richard Blumenthal, who chaired the hearing told him: “You have a duty to demand the highest safety standards... and [ensure] that ‘speak up’ in fact means speak up, not shut up, as it is meant all too often.”
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Boeing CEO: ‘We are responsible'
Referring to the Max jets crashes in 2018, in Indonesia, and 2019 in Ethiopia, Senator Blumenthal told David Calhoun: “Let’s put it very bluntly: 346, people died because of a faulty control system and cast system that Boeing knew was going to cause a crash at some point, correct?”
“I would not say the latter part of that sentence,” Calhoun replied. “People at Boeing knew there was a judgment that was made by ourselves, our design engineers and the certification process, that that could never happen, but it did.”
Senator Blumenthal said: “Well now you’re going to make me really angry, because the evidence shows in fact that the engineers working on this plane knew that that faulty control system drove the nose down under certain circumstances, and pilots, in fact... struggled to lift that nose as the plane plummeted toward the sea, and they couldn’t do it because they didn’t know what was happening.”
Calhoun later told the committee: “We are responsible... all the investigations and all the judgments that were ultimately taken, I’m not here to second guess them.
“I believe strongly in accountability.”
David Calhoun accused of ‘strip mining’ Boeing in tense exchange with Senator
Boeing CEO David Calhoun was accused of “strip mining” the company, in a tense exchange with Missouri Senator Josh Hawley.
“You’re strip mining Boeing. It was one of the greatest American companies ever. It has employed thousands of people in my state, and you are strip mining it for profit, shareholder value, and you’re being rewarded for it,” Senator Hawley told him.
“I want to hear from you, because what I hear from you is a lot of ‘this team does that and that.’ I listen to the whistleblowers, but I don’t meet with them, and I’ve heard about all this stuff that you Congress have have meddlesomely asked for because the public wants to see it, gosh darn them.
“But meanwhile, you’re getting paid a heck of a lot of money. It’s unbelievable. If anybody’s coming out of this deal, good. It’s you. Why haven’t you resigned?”
In a measured response, Calhoun responded: “I’m sticking this through. I’m proud of having taken the job. I’m proud of this safety record, and I’m proud of our Boeing people... I am proud of every action we have taken.”
Mr Hawley shot back: “You’re proud of the record?... Wow. Wow. There’s some news for you... Frankly, sir, I think it’s a travesty.”
Watch live: Boeing CEO faces Senate grilling on airplane safety as new whistleblower emerges
Watch live: Boeing CEO faces Senate grilling on airplane safety
Watch live as Boeing CEO David Calhoun faces a Senate grilling on airplane safety on Tuesday (18 June) just hours after a new whistleblower came forward with further allegations of bad practice and company cover-ups.
Calhoun: ‘Our industry doesn’t point fingers at each other'
David Calhoun told the committee: “We cannot allow one unsafe airplane to leave our factory, and so we are totally focused on everything that may have contributed to that.
“I will say this, every issue that occurs out in the field with an airplane. Our industry doesn't actually point fingers at each other. We all rally around whatever happened.”
Boeing CEO says employees have been fired over whistleblower ‘retaliation'
David Calhoun told the Senate commitee that supervisors and other Boeing employees had been fired for “retaliating” against those who had spoken out.
When asked about specifics, he told Senator Richard Blumenthal: “I don't have that number on the tip of my tongue, but I know it. I know it happens. I am happy to follow up and get you that number.
Senator, we have fired people and disciplined people, and I am happy to follow up... I will most certainly get back to you.”
Calhoun said he had not yet spoken to any of the whistleblowers.
David Calhoun apologizes to families of Boeing crash victims
Boeing CEO David Calhoun kicked off his testimony to the Senate by apologizing to the families of victims of the Max jets crashes in 2018, in Indonesia, and 2019 in Ethiopia.
Turning to face the families, who sat with pictures of their loved ones in the chamber, he apologized on behalf of himself and all previous Boeing CEOs, promising the company was “totally committed” to focusing on future safety.
David Calhoun to face ‘tough questions'
Senator Ron Johnson told Boeing CEO David Calhoun he was set to face “tough questions” during Tuesday’s hearing.
“I wish the airlines would come in and explain their quality systems, their maintenance systems, again, with the whole goal of assuring the public that it’s safe to fly today and in the future, and that they’ve got what problems exist, and they’re obviously problems.
“They’ve got them in hand, and they’re doing everything they can to fix those problems. So I appreciate the hearing of Mr Calhoun.”
Addressing him directly, he said: “Thanks for coming here. You’re going to be asked some tough questions here... and you know what you’re in here for. So I appreciate you coming here that.”
Boeing CEO chastised in Senate committee opening
Senator Richard Blumenthal began the committee by addressing Boeing CEO David Calhoun directly.
“Mr Calhoun you were brought in to the company as CEO to turn this company around... you and your board of directors have a duty to your shareholders. But they will be deeply ill served if you fail to correct coursethe root cause of this broken safety culture,” he said.
“You have a duty to demand the highest safety standards... and that ‘speak up’ in fact means speak up means shut up, as it is meant all too often. Boeing needs to stop thinking about the next earning calls and start thinking about the next generation.
“It is not enough for Boeing to shrug its shoulders and say ‘mistakes happen’. This is not an industry where its ok to cut corners... to take corners.”
He added: “I feel like you know all of what I am saying. But it’s not enough to say it. boeing has to do it.”
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