Boeing workers vote overwhelmingly for strike against contract
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Hourly workers have voted to reject the contract with a vote of 94.6% and to strike with 96%.
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International Aerospace Machinists union members march toward the union's hall to vote on a contract offer with airplane maker Boeing, on Thursday, September 12, 2024, in Renton, Washington. (AP)
Thousands of Boeing workers in the United States voted decisively to strike on Thursday, rejecting a contract that the company described as beneficial amid "financial woes" but did not meet their demands. The vote, led by the International Association of Machinists and Aerospace Workers District 751, saw 94.6% of hourly workers in the Seattle area reject the deal, while 96% voted in favor of the strike.
Jon Holden, president of IAM District 751, which represents around 33,000 workers in the Pacific Northwest, confirmed that the strike would begin at midnight. "Our members spoke loud and clear tonight," said Holden.
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The strike will impact two major Boeing plane assembly plants in the Puget Sound area, getting 33,000 workers off work in rejection of Boeing’s offer in the most recent of large-scale strikes hitting major industries in the United States, including auto manufacturing and entertainment.
Despite the overwhelming rejection, Boeing expressed its willingness to continue negotiations. "We remain committed to resetting our relationship with our employees and the union, and we are ready to get back to the table to reach a new agreement," the company said in a statement.
Boeing’s new CEO, Kelly Ortberg, had hoped a 25% wage increase over four years, along with a commitment to invest in the Seattle region, would be enough to avoid a costly strike. In a message to staff, Ortberg highlighted that the wage increase was the largest in the company's history and warned that a strike would jeopardize their shared recovery.
However, workers felt the deal fell short of their expectations, which included a 40% wage hike, especially as workers argue that a 25% increase was exaggerated because the agreement eliminated an annual company bonus. "They're talking about a 25% increase, and it's not," said Paul Janousek, an electrician in Everett, who added that his actual raise would be about only 9%.
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Other contentious issues included the lack of a pension restoration and Boeing’s pledge to build its next plane in the Seattle region, which workers viewed as a weak commitment since it offered no guarantees beyond the four-year contract.
Long-time Boeing employees expressed frustration over former CEOs Dennis Muilenburg and Dave Calhoun, who received significant compensation despite leaving the company during turbulent times. "Striking isn't ideal, but it's for the best for your long-term well-being," said Joe Philbin, a structural mechanic at Boeing for six months.
Richard Aboulafia, managing director of the AeroDynamic Advisory consultancy, said a lengthy strike would damage Boeing's turnaround prospects. Holden said he looked forward to getting back to the bargaining table, stressing that the union's Thursday vote "sends a strong message that our members deserve better."
