Boeing Allocates $100 Million To Boeing 737 MAX Families

Boeing will be allocating a $100m fund to the families and communities that were affected by the 737 MAX crisis. The action will see those affected by both Lion Air 610 and Ethiopian Airlines 302 aided. The American aircraft manufacturer announced the fund earlier today.

Boeing 737 MAX Fund
Boeing will give $100 million to those affected by the 737 MAX crisis. Photo: Boeing

The Boeing 737 MAX crisis has had a profound impact on both Boeing and the aviation industry as a whole. While Boeing has been forced to start parking the aircraft in a staff car park, airlines are also affected. With a lack of aircraft, some are having to delay expansions, lease extra aircraft, and cancel flights.

A good sign from Boeing

Personally, I feel that by issuing $100 million of funds Boeing is doing a good thing. Firstly, they are taking ownership of the issue and doing something to make it better. While you can argue that no amount of money will bring loved ones back, at least the manufacturer is trying to do something.

Secondly, and most importantly, this money will help families and communities who were directly affected by the crashes. Obviously there will have been significant financial difficulties thrust upon those who lost loved ones. This could be in the form of funeral payments or that somebody is no longer working and earning an income for the house. Hopefully, these payments will go some way towards making things easier for the people involved.

Boeing 737 MAX Fund
The fund is an important step in Boeing taking ownership of the Boeing 737 MAX issue. Photo: Boeing

About the program

According to Boeing: “These funds will support education, hardship and living expenses for impacted families, community programs, and economic development in impacted communities”, and will be released over multiple years.

A Boeing representative pointed out to Simple Flying that “the pledge is independent of the lawsuits filed by the families and loved ones of those onboard Ethiopian Airlines Flight 302 and Lion Air Flight 610.” However, the company will not comment on specific lawsuits.

Video of the day:

Boeing 737 MAX Fund
Airlines have had to make alternate plans while the Boeing 737 MAX is grounded. Ryanair was expecting their first MAXs in April. Photo: Boeing

Employees can help

Boeing is also allowing employees to be a part of the effort to raise funds for families and communities affected by the MAX crisis. In fact, they will be able to use their regular fundraising channels to help the MAX effort. Boeing will then match any donations made by employees up until the end of the calendar year.

Re-earning trust

Boeing CEO Dennis Muilenburg used the press release to talk about how the carrier additionally knows that they need to restore trust in the Boeing 737 MAX. He commented,

“We know every person who steps aboard one of our airplanes places their trust in us. We are focused on re-earning that trust and confidence from our customers and the flying public in the months ahead.”

What do you think of Boeing’s fund to help those affected by the 737 MAX crisis? Let us know in the comments!

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Nigel

It’s a nice gesture, but it’s probably just an attempt at damage control. The litigators handling the suit on behalf of the Ethopian Airlines families will be able to get a lot more than this out of Boeing. I wouldn’t be surprised if the final amount migrates toward 10 million dollars per head, in view of all the culpability that’s involved here…

Louis

Not nearly enough. Not even the equivalent of the price of one 737. Should be 10X more.

Joanna Bailey

There’s still potential compensation claims to be paid to the families…

Human rights

They can put lipstick on a pig , but it’s still a pig. I’m sure there is some sneaky agreement that if they accept it , they’ll be unable to sue. For once think of the negligence and the unnecessary loses of lives. Best left to the attorneys and the victims families.

Joanna Bailey

Boeing told us the payment is entirely separate to any compensation lawsuit…

Andrew

Months too late this won’t heal the public’s perception of Boeing management but have the opposite effect the problem isn’t going away anytime soon.
Airliners have crashed before the public know there is a risk but both the public and the airlines won’t accept a manufacturer that dodges it responsibilities and a governing body that has been slipshod in its’ duties.
To my eyes B737 Max series are more deeply flawed than a simple software patch can rectify an aerodynamic solution should be found even if that means a completely new wing and under carriage.

Nigel
Cec

Less than the price of one of these aircraft. I expect this is going to cost Boeing a great deal more than $100M.