A Boeing employee works outside the cockpit of a Boeing 737 MAX 8 aircraft at the company’s factory in Renton, Washington, March 27, 2019.
Stephen Brashear | Getty Images
boeing company Unions representing some 33,000 workers reached a new labor deal just days before a potentially costly strike began at the plane maker’s main plant.
The International Association of Machinists and Aerospace Workers, which represents workers at Boeing’s Seattle-area and Oregon plants, said the tentative agreement includes a 25% pay increase over four years, as well as other improvements to health care costs and retirement benefits. The union said it also secured a commitment from Boeing Co. to build its next plane in the Pacific Northwest.
The deal still needs to be approved by workers, but avoiding a strike is a victory for new Chief Executive Kelly Ortberg, who has vowed to get the company back on its feet amid a safety and quality crisis.
“The company finds itself in financial difficulty due to many self-inflicted mistakes. IAM members will get the company back on track,” the union said in a statement on Sunday. “When an aircraft leaves the factory, Our reputation is at stake.”
The vote is scheduled for September 12, the union said.
The current deal is set to expire after Thursday, and if no deal is reached, a strike could begin immediately. Unions have been pushing for wage increases of more than 40%.
“This contract provides the largest overall wage increase ever, lowers the share of health care costs and makes health care more affordable, and provides the company with the best possible support for your retirement,” said Boeing Commercial CEO Stephanie Pope. Made a greater contribution and improved work-life balance.
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