33,000 striking Boeing workers will vote on a new contract proposal on Monday 4 November 2024, as industrial action stretches into a seventh week.
The International Association of Machinists and Aerospace Workers (IAM), who represent the striking machinists, has provided details of the latest offer from Boeing.
Boeing Strike: Latest Contract Proposal
Notably, the new proposal sees a wage increase of 38% over four years. This increases the previously rejected offer of 35%, and comes closer to the original demand of a 40% wage rise.
Bowing will also offer a one-off contract ratification bonus of $12,000 to workers approving the agreement. This is an increase from the $7,000 payment previously offered.
Workers will now vote on the new labor contract proposal on Monday, 4 November.
The strike, which originally began on 13 September, has now lingered into its seventh week. The fallout has been considerable, which broad shutdown in aircraft production and a significant hit to Boeing’s financial health.
According to analysts, the financial impact of the extended strike has meant losses of approximately US $1 billion per month for the US manufacturing giant.
Last week’s contract proposal was rejected by a majority of 64% of workers.
Looking Towards a Production Restart
Boeing CEO Kelly Ortberg gave comment on the situation, as part of a statement on the company’s Q3 performance last week.
“The first and foremost on everybody’s mind today, is ending the IAM strike. We have been feverishly working to find a solution that works for the company and meets our employees’ needs.”
“I met with the union leadership the first week on the job and let them know that I was committed to resetting the relationship. And I remain committed to getting the team back and improving our relationship, so we don’t become so disconnected in the future.”
Ortberg also noted that the return of workers to the production line would require well executed implementation. He characterized the restart as being harder than the actual shutdown:
“Once we get back, we have the task of restarting the factories and the supply chain. And it’s much harder to turn this on than it is to turn it off. So, it’s critical, absolutely critical, that we do this right.”
“Our Safety and Quality Management Systems will guide us through the restart. We have a detailed return-to-work plan in place and I’m really looking forward to getting everybody back and getting to work on that plan.”
For now, all parties remain hopeful of a final resolution next Monday.
Click the banner to subscribe to our weekly newsleter.
Click the photo to join our WhatsApp channel so then you can stay up to date with everything going on in the aviation industry!
