Boeing and union reach a labor deal, potentially averting a strike
NBCSEP 13 2024
Boeing and its largest union, the International Association of Machinists and Aerospace Workers (IAMAW), Sunday announced they've agreed on a new contract — averting a strike assuming it's ratified.
The new agreement calls for the 33K union workers to get pay raises of 25% over four years. Average wages will rise 33% because of seniority step increases, but the union had been seeking a 40% rise.
As a tradeoff, Boeing has agreed to build its next airplane in the Pacific Northwest of the US.
This deal shows that Ortberg gets it. Bathed in a sea of bad publicity and sinking value, Ortberg didn't just cut a deal that shows the company values its employees and meets the union halfway — and gives union leaders a contract to crow about — but also commits to building in the Pacific Northwest, where there's the best chance for Boeing to complete its projects correctly. Boeing is on the path to recovery.