In brief
After a seven-week walkout, Boeing has made a revised offer to its striking workers, which includes a 38% pay rise over four years, as well as a significant bonus and changes to retirement plans.
Boeing workers are preparing to vote on an enhanced pay offer from the company, aimed at ending a seven-week strike that started on September 13. The new proposal, backed by the International Association of Machinists and Aerospace Workers (IAM), includes a notable 38% pay increase spread over four years, a step up from the union's original demand for 40% and previous offers that were rejected. This latest offer also features a bonus of $12,000 for workers if a deal is finalized, a significant increase from the earlier figure of $7,000. The IAM stated in a social media post that it was time for members to achieve these gains and conclude the strike, arguing that remaining on strike longer might jeopardize their hard-won successes. Boeing's proposal suggests that, if accepted, average annual pay would increase to $119,309 within the next four years. The company is urging employees to review the revised terms and participate in the vote scheduled for Monday, November 4. The union represents over 30,000 workers, and their ongoing strike has already led to a considerable slowdown in production at Boeing, which is grappling with a financial crisis. The company's commercial aircraft division reported a staggering $4 billion operating loss for the last quarter, prompting them to consider significant layoffs affecting approximately 17,000 workers, with redundancy notices anticipated by mid-November. As the situation develops, Boeing is actively trying to stabilize its finances, reflected in a recent increase of 2.7% in the company's shares following the announcement of the new offer. The ongoing industrial action comes on the heels of various challenges faced by Boeing, including a mid-air incident with one of its passenger planes and setbacks in its space operations.
