Boeing workers continue strike amid pay dispute

Workers strike

Boeing workers have been on strike since mid-September after rejecting a new contract deal.

The union representing these workers has criticized Boeing’s “best and final” pay offer, which proposed a 30% pay rise over four years. The offer also included a performance bonus and improved retirement benefits.

The International Association of Machinists and Aerospace Workers (IAM) said the offer was not negotiated with the union. Over 30,000 Boeing workers went on strike after rejecting a 25% pay rise offer.

Boeing said in a letter that the new offer doubles the value of a one-off bonus for signing a new pay deal to $6,000.

The company said the offer is dependent on it being ratified by union members by midnight Pacific time on Friday, September 27. However, IAM said Boeing sent the new offer directly to union members and the media without informing the union’s representatives.

Boeing strike affects pay negotiations

The union said it would not hold a vote of its membership ahead of Boeing’s deadline. Boeing said: “We have bargained in good faith with the IAM since formal negotiations began in March. We first presented the offer to the union and then transparently shared the details with our employees.”

The strike threatens to cost Boeing billions of dollars, exacerbating the crisis at a company already facing significant challenges.

The company has suspended the jobs of tens of thousands of staff and indicated that US-based executives, managers, and staff would be asked to take one week of furlough every four weeks for as long as the walkout lasts. Government officials are now helping to mediate talks between the two sides. Boeing workers voted to strike on September 13 after rejecting a new contract deal, which included a 25% pay rise over four years.

The union had initially aimed for a number of improvements to workers’ packages, including a 40% pay rise. Almost 95% of the union members voted to reject Boeing’s initial offer. Of those who voted, 96% backed strike action until a new agreement could be reached.

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