Boeing factory workers in Seattle have voted to reject the company’s latest contract offer and will continue their six-week strike. The International Association of Machinists and Aerospace Workers union members felt that the proposal did not meet their needs, despite the offer of pay raises totaling 35% over four years.
One of the main issues for the workers was Boeing’s refusal to reinstate a traditional pension plan that was eliminated ten years ago. This has been a sticking point in negotiations, along with other demands from the union for higher pay increases.
The strike has caused a halt in production of Boeing’s popular 737 Max jetliners, leading to financial losses for the company. Boeing reported a third-quarter loss of over $6 billion, and CEO Kelly Ortberg warned of potential layoffs if the strike continues. The company also announced delays in the rollout of a new plane, the 777X, and plans to stop building the cargo version of the 767 jet in 2027.
This strike comes at a difficult time for Boeing, which has been under scrutiny following safety concerns with its 737 Max planes earlier this year. The company has faced multiple federal investigations and financial challenges, with losses totaling more than $25 billion since the beginning of 2019.
Despite Boeing’s efforts to reach a resolution with its “best and final” offer, union leaders and workers still felt that the proposal was insufficient. Negotiations have been ongoing, but the two sides have not reached a satisfactory agreement.
The impact of the strike extends beyond the workers and the company, affecting the delivery of new planes to airlines and the overall aerospace industry. The outcome of the negotiations will be crucial for both Boeing and the union members as they seek to find a resolution that meets the needs of all parties involved.
