Boeing machinists have overwhelmingly voted to go on strike, rejecting the company’s latest contract offer. The International Association of Machinists and Aerospace Workers District 751 (IAM) members voted 96% in favor of striking and 94.6% to reject the proposed agreement, far exceeding the two-thirds majority required to initiate a work stoppage.
The strike, which will begin early Friday morning, involves approximately 30,000 workers responsible for producing Boeing’s 737 MAX and other jets in the Seattle and Portland areas. This marks their first full contract negotiation in 16 years, highlighting the significance of the moment for both the workers and the company.
Boeing’s offer included a 25% general wage increase over four years, a $3,000 signing bonus, and a commitment to build the company’s next commercial jet in the Seattle area, provided the program launches within the contract period. However, many workers argued for the originally demanded 40% pay rise and expressed disappointment over the loss of an annual bonus program.
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The strike comes at a critical time for Boeing, which has been grappling with various challenges, including safety concerns following the 737 MAX incidents, legal issues, and setbacks in its space program. Analysts estimate the work stoppage could cost the company up to $1 billion per week, potentially derailing its recovery efforts and impacting its market position.
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Boeing CEO Kelly Ortberg had urged employees to accept the deal, emphasizing the importance of collaboration for the company’s future. However, workers like T E Sue, a 35-year Boeing veteran, described it as the “worst contract” in his tenure, reflecting a widespread sentiment among union members.
“I want the company to be fair with us,” Sue told The Washington Post. “We’re the bread and butter of the company.”
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