Boeing employees remain on strike for the fourth consecutive week after declining the company’s second offer for a raise.
These 33,000 employees, represented by the International Association of Machinists and Aerospace Workers, were employed at Boeing’s manufacturing factory, which produces its 737 MAX and 767 and 777 planes. Their strike is delaying further production and presenting a financial challenge to the company, which is already battling bad press.
The latest offer included a 30% raise, which was 5% more than its last offer, and a restoration of its performance bonus. However, the employees are seeking a 40% raise, vacation and sick leave accrual, progression, ratification bonus, and a 401k match, so the union rejected the offer Tuesday despite Boeing’s promise that it was their “best and final offer.”
“Unfortunately, the union did not seriously consider our proposals. Instead, the union made non-negotiable demands far in excess of what can be accepted if we are to remain competitive as a business,” Boeing Commercial Airplanes CEO Stephanie Pope said in a statement. “Given that position, further negotiations do not make sense at this point and our offer has been withdrawn.”
However the union expressed its negotiating committee “remains ready to continue mediated or direct talks.”
“[Boeing] was hell-bent on standing on the non-negotiated offer that was sent directly to the media on September 23, 2024,” the committee wrote in a statement. “By refusing to bargain the offer sent to the media, the company made it harder to reach an agreement.”
CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER
In August, Boeing CEO Kelly Ortberg replaced Dave Calhoun following allegations of safety violations. Boeing was fresh from the receiving end of an audit from the Federal Aviation Administration in July. The administration found that the company had “failed to comply with manufacturing quality control requirements” in more than one instance.
As a result of the audit, there was a 500% increase in Boeing employees submitting safety reports.