How will Washington state respond to the needs of aerospace, one of its leading industries, in 2011?
Next year will be an important one for the Boeing Co., Washington’s largest aerospace company, with production ramping up as it works to get two new planes, the 787 and 747-8, on track. Besides helping to meet Boeing’s short-term and long-term needs, the state also has the demands of its 650 aerospace-related companies to consider.
At a recent meeting, the state’s aerospace council discussed both recent efforts and plans for 2011:
Attracting new business
Although the state did not have much presence at this year’s Farnborough Air Show in England, Gov. Chris Gregoire already has said she plans to lead a delegation to the Paris Air Show next summer. Air shows like these provide an opportunity to attract new business for aerospace suppliers in Washington state that want to expand their business beyond Boeing. The events also give Washington a chance to try to convince aerospace companies in other countries or states to locate here.
The state Department of Commerce, which will coordinate the trip, hopes to bring representatives from 15 companies in Washington state to the trade show, said Troy DeFrank, business development manager with the state agency. The department’s goal from the trip is to pick up five aerospace investment leads and land $6 million in sales for Washington’s aerospace companies in the year following the show.
Over the past two months, Washington has sent a trade group to the Zhuhai Air Show in China and to the Toulouse Aeromart event in France. The governor and the Commerce Department have worked to establish relationships with China and its new jet maker, Comac.
Officials from Comac were in the U.S. in early December, spending time in Washington state to meet with Gregoire as well as Boeing representatives.
“I think there is certainly a lot of opportunity for our state to work with Comac in the future,” said Rogers Weed, director of commerce.
Education and training
With 25 percent of Boeing’s work force eligible for retirement, the company and state are concerned about replacing those employees with skilled workers over the next decade. In terms of machinists, Boeing estimates it will need up to 2,700 workers by the end of 2011.
In 2009, the governor ordered the community colleges to coordinate curriculum for aerospace-related programs. Over the last year and a half, the colleges have aligned certificate and degree programs to make training more transferable and transportable, said Joe Dunlap, president of Spokane Community College.
A worker who starts his education in Spokane but transfers to Everett can continue the same program at a community college here. The skills being taught at the community colleges address the same needs of the industry, he said.
“This is really an unprecedented response for industry by our community college system,” Dunlap said.
Students entering the community college system today won’t finish their certificate programs for a couple years. To address short-term and company-specific needs, Washington relies on its two aerospace training centers — one in Spokane, the other at Paine Field in Everett. Those programs will continue in 2011, as many graduates of the programs are being hired immediately by Boeing.
2011 Legislature
In 2011, the Legislature could hear two requests from industry groups that revolve around education and training.
The first involves boosting student capacity in engineering programs at Washington universities.
A recent state report showed that state universities can’t fill half the demand here for engineers because of too few seats in engineering classes. For instance, University of Washington’s engineering program turned away 400 qualified applicants in 2009 because of a lack of space.
Stan Sorcher, with Boeing’s engineers union, cautioned against trying to meet the full demand for aerospace engineers every year, as Boeing tends to lay off engineering workers after a new plane program is completed.
Besides graduating more engineers or training workers at community colleges, the state has an aerospace apprenticeship program aimed at helping aspiring machinists and aviation mechanics to get traditional education and practical experience. But the program began just as the recession crept in, making it difficult to convince employers to bring on apprentices, said Laura Hopkins, director for the Aerospace Joint Apprenticeship Committee.
Hopkins hopes the Legislature will consider instituting a tax incentive for businesses that hire an apprentice. Fifteen other states have similar incentives; and a majority of Washington aerospace companies surveyed said they would participate in the program if given a tax break, Hopkins said. Hopkins’ pitch has the backing of organized labor.
“The Machinists will make this our number one priority in the Legislative session,” said Larry Brown, the legislative adviser with Machinists union local.
Governor’s agenda
The governor is working on a few other aerospace-related items aside from what happens at trade shows and in the Legislature.
Gregoire, through a governor’s coalition, has been actively lobbying around the country for Boeing’s 767 to win an U.S. Air Force aerial tanker contest, which would ensure 767 production beyond the next decade.
But the governor also is eyeing the fate of two other Boeing jet programs here in the Puget Sound area. Boeing is considering whether it will upgrade or completely replace its Renton-built 737 and its Everett-built 777. Boeing’s executives have said the Puget Sound-area work force will have to compete for any all-new aircraft work. In 2009, Washington state lost out on the second assembly line for the 787, which Boeing placed in South Carolina.
“After the tanker contest, we’ll focus more on the 737 and 777 programs and getting local government and groups involved,” said Mike Luis, the governor’s new aerospace adviser.
Michelle Dunlop: 425-339-3454; mdunlop@heraldnet.com.
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