Report: BAE CEO says sequestration would cause major cuts

David Stegon
David Stegon Former staff reporter - FedScoop & StateScoop

David Stegon was a staff reporter for FedScoop and StateScoop from 2011-2014.


BAE Systems Inc. may have to lay off more than 13 percent of its employees in the United States if sequestration becomes a reality, said CEO Linda Hudson in an interview with Reuters.

Hudson, the U.S. head of the British company, said as much as 4,000 of the company’s 30,000 U.S.-based employees could be notified they will be laid off just before the November 6 election.

"The environment is wreaking havoc on all of us and our ability to do rational things," Hudson said in an interview last week with the news service.

"If everything is cut across the board, we may end up having to send notices to all of our employees that work on government contracts because we can't pinpoint a location that would be affected, or a program that would be affected," she said.

Sequestration, a law that calls for Congressional leaders to reach a deficit reduction plans or mandatory cuts, would take place, split evenly between defense and non-defense related programs.

Congressional leaders face an approximately $110 billion deficit that must be resolved by November.

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Government IT News, Management & Budget , Sequestration, Linda Hudson

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