Aetos Systems KSC Layoffs: 126 Jobs at Risk by Year-End

Aetos Systems KSC layoffs are now on record: Aetos Systems Inc., a Huntsville, Alabama-based government contractor, filed a Worker Adjustment and Retraining Notification with FloridaCommerce on Oct. 16, warning that up to 126 of its employees at Kennedy Space Center could be terminated by Dec. 31, 2026, as NASA pulls their work in-house.

Aetos Systems KSC Layoffs: What the WARN Notice Says

According to the state WARN notice database filing, Aetos works as a subcontractor to Leidos on NASA's Advanced Enterprise Global Information Technology Solutions contract, known as AEGIS. NASA plans to remove portions of Aetos' work at Kennedy between Dec. 1 and Dec. 31. FloridaCommerce's 2026 WARN list gives the Aetos work location as Space Commerce Way in Merritt Island, state notification date October 16, 2026, layoff dates December 1 through December 31, 2026, 126 employees affected. The same list shows Amentum at Space Commerce Way, notified September 25, 2026, 70 employees, layoff date November 30, 2026.

Amanda Wheaton, Aetos' vice president of corporate operations, wrote to the state that the cuts are a direct result of NASA shifting the work to civil servants and that some positions will not be retained by NASA, according to WhatNow. The company said NASA considers the change permanent.

Some or all of the affected employees may receive in-sourced job offers from NASA, per Patch. Workers who do not accept those offers will be terminated by Aetos by Dec. 31, 2026. NASA has said the move is about restoring internal competencies and is not a reflection on the contractor's performance, according to WFIT.

Roles and Union Representation

Positions listed in the notice include communications systems engineers, electronic technicians, network technicians, instrumentation specialists, field systems specialists, senior CAD drafters, photo planners, systems planning specialists, and training coordinators.

All 126 potentially affected employees are union members. According to the filing, 118 are represented by the International Brotherhood of Electrical Workers Local 2088 in Merritt Island. The remaining eight are represented by Local 780 of the International Alliance of Theatrical Stage Employees. For positions not moved to NASA, layoffs will follow seniority and bumping provisions of the workers' collective bargaining agreements, per Florida Today.

The AEGIS Contract

NASA awarded Leidos the AEGIS contract in 2021. The 10-year, $2.5 billion agreement covers telecommunications, cloud and data center services across all NASA centers, including network infrastructure, cybersecurity, telephone, cabling, radio, and emergency warning systems, according to FedScoop. The contract runs through Aug. 31, 2031, if all options are exercised.

Second KSC Contractor Warning in Less Than a Month

The Aetos notice follows a separate WARN from Amentum, NASA's prime contractor for ground systems and launch operations at KSC, which reported 70 Kennedy jobs cut by Nov. 30, per The Space Coast Rocket. Together, the two notices put as many as 196 contractor jobs at Kennedy on the line before the end of 2026.

Both rounds trace back to a workforce directive NASA Administrator Jared Isaacman issued on Feb. 6, titled "Restoring NASA's Core Competencies." The directive instructed center directors to identify outsourced technical and operational work and propose converting core roles to civil service positions, according to SpacePolicyOnline. Isaacman tied the effort to President Trump's December 2025 executive order on American space superiority.

Isaacman has estimated contractors make up roughly three-quarters of NASA's workforce and that the contracting structure adds about $1 billion a year in overhead, per Payload. The directive aims to limit contractors mainly to short-term assignments, surge staffing, and specialized work outside NASA's core functions. Nearly 600 new NASA civil servants took their oaths of office at Kennedy on Sept. 21.

Workers seeking in-house positions can find vacancy announcements on NASA's Restoring Core Competencies careers page as centers complete their assessments.

If you hold office or flex space near Kennedy Space Center and want to discuss your lease position, see office space for lease in Brevard County, call Reach Commercial Real Estate at 321-514-0876 or visit the contact page.

Frequently Asked Questions

What is the AEGIS contract and who holds it?

NASA awarded Leidos the AEGIS contract in 2021. The 10-year, $2.5 billion agreement covers telecommunications, cloud, data center, cybersecurity, and related services across all NASA centers, running through Aug. 31, 2031 if all options are exercised.

Will affected Aetos employees have a chance at NASA civil service jobs?

Aetos said some or all affected employees may receive in-sourced job offers from NASA. Workers can find vacancy announcements on NASA's Restoring Core Competencies careers page.

Sources

• FloridaCommerce WARN notices, 2026, read October 24, 2026: Aetos Systems, Inc., Space Commerce Way, Merritt Island, state notification date 10-16-26, layoff dates 12-01-26 through 12-31-26, 126 employees affected; Amentum, Space Commerce Way, Merritt Island, notified 09-25-26, 70 employees, layoff date 11-30-26.

• The Space Coast Rocket, Oct. 22, 2026: Primary reporting on the Aetos WARN notice, job counts, contract details, union representation, and the broader NASA insourcing directive.

Written by Cassandra Hartford, founder and CEO of Reach Commercial Real Estate. She has worked in Brevard County commercial real estate for 17 years, representing buyers, sellers, landlords, and tenants across Florida's Space Coast.