Boeing, union reach sweetened contract offer in bid to end strike, vote scheduled for Monday

Boeing, union reach sweetened contract offer in bid to end strike, vote scheduled for Monday


Boeing workers from the International Association of Machinists and Aerospace Workers District 751 gather on a picket line near the entrance to a Boeing production facility on the day of a vote on a new contract proposal during an ongoing strike in Renton, Washington, U.S. October 23, 2024. 

David Ryder | Reuters

Boeing and its machinists’ union have agreed on a new negotiated offer to raise worker pay and potentially end a crippling strike that began almost seven weeks ago with a vote on the new proposal set for Monday.

The union urged workers to approve the contract.

“In every negotiation and strike, there is a point where we have extracted everything that we can in bargaining and by withholding our labor,” the International Association of Machinists and Aerospace Workers District 751 said Thursday. “We are at that point now and risk a regressive or lesser offer in the future.”

The union said that asking its members to stay on strike longer “Wouldn’t be right as we have achieved so much success.”

Boeing’s more than 32,000 machinists, mostly based in the Seattle area, walked off the job on Sept. 13 after turning down a tentative agreement. They rejected another proposal earlier this month, extending the strike.

The new proposal includes 38% general wage increases over four years, up from a previous offer for 35%, bringing the compounding pay increases to close to 44%, the union said Thursday. It also gives workers the option of a $12,000 one-time ratification bonus or to choose a previous offer for a $7,000 ratification bonus and a $5,000 401(k) contribution.

Boeing said Thursday at the end of the contract, average machinist pay will average $119,309.

“We encourage all of our employees to learn more about the improved offer and vote on Monday, Nov. 4,” Boeing said in a statement.

CEO Kelly Ortberg said on his first earnings call last week since taking the top job in August that the company has been “feverishly working to find a solution that works for the company and meets our employees’ needs.” Hours later, the workers rejected a negotiated proposal.

Workers have repeatedly pushed for higher compensation as the cost of living in the Seattle area — where technology giants like Microsoft and Amazon have ramped up staffing — has surged in recent years.

The strike has further pushed back Boeing leaders’ plans to stabilize the aerospace behemoth as it reels from the impact of production flaws and the fallout from safety issues, most recently a door plug that blew out midair from a Boeing 737 Max 9 at the start of the year.

Boeing lost more than $6 billion in the last quarter and warned it would continue to burn cash through 2025.

The Boeing strike is expected to dent Friday’s U.S. jobs report.

Read more CNBC airline news



Source

Air travel could be the catalyst for a resolution to the shutdown, says TD Cowen’s Tom Fitzgerald
Travel

Air travel could be the catalyst for a resolution to the shutdown, says TD Cowen’s Tom Fitzgerald

ShareShare Article via FacebookShare Article via TwitterShare Article via LinkedInShare Article via Email Tom Fitzgerald, TD Cowen analyst, joins ‘Squawk Box’ to discuss the impact of the government shutdown on the airline sector, what disruptions to air travel could look like, Source

Read More
Kristi Noem’s shutdown airport video may violate Hatch Act, Sen. Cantwell warns
Travel

Kristi Noem’s shutdown airport video may violate Hatch Act, Sen. Cantwell warns

U.S. Senator Maria Cantwell (D-WA) speaks during a press conference following the weekly policy luncheon, on Capitol Hill in Washington, D.C., U.S., June 3, 2025. Annabelle Gordon | Reuters Democratic Sen. Maria Cantwell on Wednesday asked the U.S. Office of Special Counsel to investigate Department of Homeland Security Secretary Kristi Noem for “likely” violating the […]

Read More
Airlines waive flight-change fees for East Coast flights ahead of storm
Travel

Airlines waive flight-change fees for East Coast flights ahead of storm

An American Airlines flight takes off from Reagan Washington National Airport as the U.S. government shutdown continues in Arlington, Virginia, U.S., Oct. 8, 2025. Nathan Howard | Reuters Airlines are waiving flight-change fees and fare differences for more than a dozen airports in the mid-Atlantic and Northeast U.S. ahead of a big coastal storm. The […]

Read More