Boeing Supplier to Lay Off 2,800 in New Risk for 737 Max Future

Boeing Co.’s largest supplier for the grounded 737 Max is laying off 2,800 employees, potentially complicating the future of the planemaker’s best-selling jetliner.

Spirit AeroSystems Holdings Inc. said the job cuts are needed to reduce costs as Boeing prepares to halt output of the Max indefinitely. Once Boeing production starts up again, production of the Max will probably be lower than in 2019, Spirit said by email Friday.

Spirit’s move signals that the company, which makes 70% of the narrow-body jet’s structure, expects a lengthy suspension in production. The supplier had continued to make parts for the aircraft after ...