Unionized Boeing workers are currently voting on whether to accept a new contract offer or continue their strike, which has halted production of most passenger planes for over seven weeks. A favorable vote on Monday, coinciding with Election Day, could allow the aerospace giant to resume production. The International Association of Machinists and Aerospace Workers (IAM), which represents the workers in the U.S. Pacific Northwest, has endorsed the proposal, which includes a 38 percent pay raise over four years and bonuses, slightly more generous than a previous offer that was rejected.
Union leaders believe it is time to secure the gains achieved and have cautioned that future offers from Boeing may be less favorable if the current one is turned down. The outcome of the vote is expected to be announced later on Monday.
Pension restoration was a critical issue in earlier rejections of Boeing’s offers. The new proposal does not address this concern, as the pension plan was frozen nearly a decade ago. If ratified, workers will return to their jobs by November 12.
The strike began on September 13 after an overwhelming rejection of Boeing’s initial pay increase offer of 25 percent over four years, which fell short of the union’s demand for a 40 percent increase over three years. A subsequent offer of 35 percent raises was also declined on October 23, despite a reported third-quarter loss of over $6 billion. The new offer includes a $12,000 ratification bonus and larger contributions to 401(k) retirement accounts.
Boeing has also committed to building its next airline plane in the Seattle area, a promise that union officials fear could be withdrawn if the new offer is rejected. The strike has garnered attention from the Biden administration, with Acting Labor Secretary Julie Su intervening in negotiations multiple times.
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