Just two weeks ago, Boeing set out plans to donate $100 million to those affected by the Boeing 737 MAX crisis. It appears the manufacturer is taking a step forward in this program. In fact, half has now been allocated.
The Boeing 737 MAX has now been grounded for four months. During this time, Boeing has been fighting two battles. While the first has seen it trying to regain regulators trust, the second has been slightly more challenging. Due to the unique climate of rapidly spreading information, everybody knows about the Boeing 737 MAX. This has led to many claiming they would never set foot on the aircraft.
The Boeing 737 MAX funds
Back at the start of July, Boeing announced that it would allocate $100 million to those who were affected by the two crashes of the 737 MAX. This would have gone to a range of people from victim’s families to local communities.
I personally really admired this announcement. It seemed as though Boeing was finally taking ownership of the effects of both the Lion Air and Ethiopian Airlines accidents. Additionally, it seemed as though the American manufacturing giant was looking to make a positive difference to those affected. While you can argue that no amount of money will bring loved ones back, at least the manufacturer is trying to do something.
At the time of the original announcement, a Boeing representative told us “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.”
$50 million family relief
Half of the promised funding has already been allocated. Boeing announced today that $50 million of the fund will go to the families of 737 MAX crash victims. In total 346 people died across the two incidents. This includes 16 members of crew. Assuming the funding is equally shared 346 ways, each payout would be $144,508.
The funds will be administered by Kenneth Feinberg and Camille Biros. However, it was not immediately clear how the funds will be distributed. Speaking regarding the funds, Dennis Muilenburg, Boeing chairman, president and CEO said:
“The tragic loss of life in both accidents continues to weigh heavily on all of us at Boeing, and we have the utmost sympathy for the loved ones of those on board. Through our partnership with Feinberg and Biros, we hope affected families receive needed assistance as quickly and efficiently as possible.”
How will it help?
There was no immediate word on how the funds will help. The money will go to the family of the victims which, in many cases, could be a huge assistance. Where multiple members of a family have been lost, there could be fewer people bringing bread to the table. This could go a fair way to account for that.
What do you think of Boeing’s announcement? Let us know in the comments.