L3Harris is cutting 5% of their workforce to save costs

The announcement confirms a Reuters report from Tuesday which said the company would cut 5% of its workforce this year, citing an email sent to employees. Though U.S. defense contractors are seeing a notable increase in orders amid conflicts in the Middle East and between Russia and Ukraine, they continue to face headwinds from supply chain and labor disruption stemming from the pandemic, impairing margins.

U.S. defense contractor L3Harris Technologies to cut 5% of workforce to save costs, email shows. CEO Chris Kubasik said in an email to employees seen by Reuters on Tuesday. The cuts aim to eliminate redundancies across all functions at the company, a person familiar with the situation said. L3H is set to report its first-quarter results on Thursday.