U.S. Bureau of Economic Analysis (BEA) reports

Boeing Union Backs New Contract with 38% Wage Hike, $12,000 Bonus; Vote Set for Monday

Oct 31, 2024, 11:01 PM

Boeing Co. and union leaders representing 33,000 striking workers have held productive talks, with assistance from acting Labor Secretary Julie Su, to end a seven-week labor dispute that began on September 13 and has significantly impacted Boeing's U.S. manufacturing. After the union rejected an improved contract offer from the planemaker last week, the two sides met for the first time to resume negotiations. Boeing is expected to make an improved wage offer to the striking factory workers on Thursday, with sources indicating that the latest proposal would provide a 38% guaranteed wage increase over a four-year deal, a compounded increase of about 43.65%, and a $12,000 signing bonus upon ratification. The International Association of Machinists and Aerospace Workers (IAM) union leadership has endorsed the latest contract offer, recommending that members approve it in a vote scheduled for Monday. If accepted, the average annual machinist pay at the end of the four-year contract will be $119,309. The union, which originally demanded a 40% raise over three years and restoration of traditional pensions, has told members it's time to "lock in these gains and confidently declare victory." The strike has halted most of Boeing's airplane production and continues to affect U.S. manufacturing.