Boeing Reaches Tentative Union Deal—Would End Five-Week Strike
ForbesOCT 20 2024
Boeing workers voted Wednesday to reject the latest wage deal on the table, continuing costly strikes that have hamstrung the aviation giant.
When 33K workers, represented by the International Association of Machinists (IAM) union, elected to begin strikes last month — with 90% voting in favor of rejecting Boeing's offer that included a 25% pay increase over four years — employees wanted a 40% raise, as well as the restoration of a defined-benefit pension that was removed over 10 years ago.
Since then, talks between Boeing and the union have often stalled, including when Boeing offered a 30% pay rise over four years, the doubling of a contract signing bonus to $6K, and the reinstatement of an annual productivity bonus, but did not include a restoration of the old pension scheme.
Boeing's latest offer continues to fall short of bringing employees' pay to 2024 levels and has not at all addressed staff's demands to restore the old pension scheme. Workers will continue to hold the line and picket until these basic demands are met.
There'sAfter the blowout of a 1%door chancepanel thatearlier Boeingin willthe releaseyear, aas newwell midsizeas aircraftposting losses of $6B on Wednesday, likelythe calledresult of this vote is more bad news for Boeing. Estimates suggest the 797,company intois commerciallosing service$100M beforeeach 2030day the strikes continue, accordingand toit's imperative they're resolved as soon as possible or the Metaculusfuture predictionof communitythe company could be at risk.