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Boeing Workers Reject Contract Offer, Continue Months of Strike
Thousands of machinists at three Midwest Boeing plants who develop and produce military aircraft and weapons voted Sunday to reject the company’s latest contract offer, extending a strike started nearly three months ago.
A Boeing spokesperson told Newsweek in an email the company is “disappointed” with the vote but said the “vote failed by the slimmest of margins, 51% to 49%,” adding that “it’s clear many understand the value of our offer.”
Newsweek has reached out to the International Association of Machinists and Aerospace Workers (IAM) for comment via email on Sunday.
Why It Matters
More than 3,200 Boeing defense workers at plants in St. Louis; St. Charles, Missouri; and Mascoutah, Illinois; have been on strike since August, rejecting the company’s contract that included a 20 percent wage increase over four years.
Boeing’s defense and space security sector accounts for over a third of the company’s revenue, and is responsible for building fighter jets and weapons systems for the U.S. military. Last year, 33,000 Boeing machinists who help build commercial jets walked off the job amid heightened safety scrutiny. Around 345 people died in two separate Boeing 737 Max 8 crashes in 2018 and 2019.
In March, President Donald Trump awarded Boeing a multi-billion-dollar contract to build F-47 fighter jets. Air Force Chief of Staff General David Allvin at the time said, the new jets will be “the most advanced, lethal and adaptable fighter ever developed.”
What To Know
In a Sunday vote, the workers rejected the latest contract offering by the aerospace giant. Boeing and the St. Louis Post-Dispatch reported that the vote was extremely narrow, with 51 percent voting against and 49 percent in favor. The IAM Union press release did not provide a vote tally.
IAM Union says the individuals who are striking build and maintain “the F-15, F/A-18, and advanced missile and defense systems that are essential to U.S. national security.”
In September, the group pre-ratified an offer that would bring them back to work, seeking equality across regions on 401(k) retirement contributions, “strong wage increases that keep up with inflation,” and a ratification bonus comparable to other regions and non-union workers.
The picketers have rejected several offers, including a third proposal in September that included a $4,000 lump-sum signing bonus. Earlier this month, Steve Parker, the head of Boeing’s defense business, wrote in an letter to employees that “no matter how long the strike lasts, the economics won’t change,” arguing that “each of the offers we’ve put forward would give you a better deal than anything comparable we’ve seen in our region and industry, keeping our business competitive so we can keep winning and delivering together, and building on our proud St. Louis legacy for generations to come.”
Last year, the 33,000 striking machinists in Washington state went on strike for over seven weeks and came back with a 38 percent wage increase over four years.
What People Are Saying
IAM Union International President Brian Bryant said in a Sunday press release: “Boeing claimed they listened to their employees – the result of today’s vote proves they have not. Boeing’s corporate executives continue to insult the very people who build the world’s most advanced military aircraft — the same planes and military systems that keep our servicemembers and nation safe. Our members aren’t going to be fooled by PR spin. It’s well past time for Boeing to stop cheaping out on the workers who make its success possible and bargain a fair deal that respects their skill and sacrifice.”
A Boeing spokesperson told Newsweek in an email on Sunday: “We’re disappointed with the vote result. The union’s statement is misleading since the vote failed by the slimmest of margins, 51% to 49%. With the close result and the increased interest we’re hearing from teammates who want to cross the picket line, it’s clear many understand the value of our offer. We are turning our focus to executing the next phase of our contingency plan in support of our customers.”
IAM Union Resident General Vice President Jody Bennett said in a Sunday press release: “Our members have shown incredible unity and strength throughout this strike. They’re standing up not just for themselves, but for every worker who deserves fairness, respect, and the same standard of treatment. Boeing can’t keep playing favorites between regions and expect our members to accept less.”
Senator Bernie Sanders, a Vermont independent, said in an October 1 X post: “Boeing paid its CEO $18 million for 4 months of work while taking away health care benefits from 3200 machinists in St. Louis who have been on strike for 2 months & were making as little as $18 an hour. I say to the CEO of Boeing: End your greed. Sign a fair union contract NOW.”
What Happens Next?
Boeing said it will release its quarter three earnings on Wednesday, October 29.
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