After nearly two months on strike, Boeing workers across the U.S. have voted to end their historic labor action.
38% Wage Increase
Early this morning, roughly 60% of the company’s workforce approved a new collective bargaining agreement, securing significant pay increases and bonuses that will benefit thousands of employees.
The new four-year agreement includes a 38% wage increase, set to bring the average employee salary up to $119,300 annually from the current $75,600, according to El Economista.
As an added incentive, each worker will receive a $12,000 signing bonus. The contract, which covers about 33,000 Boeing employees represented by the International Association of Machinists and Aerospace Workers (IAM), also includes paid parental leave and an annual bonus.
However, the union was unable to negotiate the reinstatement of Boeing’s pension plan, which was eliminated in 2014.
Losses Exceeding $6 Billion
The IAM announced the vote results at Boeing’s main plant in Seattle, with union representatives expressing cautious optimism.
“In every negotiation and strike, there’s a point where we’ve gained all we can while preserving jobs,” the union stated. “We’re at that point now, and delaying could risk a less favorable offer in the future.”
The strike, which began on September 13, followed workers’ rejection of an initial offer that proposed a 25% raise.
In fact, Boeing workers turned down an earlier proposal just two weeks ago — one that included a 35% pay increase and a $7,000 signing bonus. Their persistence led to this improved deal with a more substantial raise and signing bonus.
Boeing has felt the impact of the strike, reporting quarterly losses exceeding $6 billion due to production issues with its 737 Max model and the ongoing labor dispute.
With the strike now concluded, Boeing can focus on stabilizing production and addressing its financial setbacks.
