People sing during the International Association of Machinists and Aerospace Workers (IAM) strike rally at Seattle Union Hall on October 15, 2024 in Seattle, Washington.
Jason Redmond | AFP | Getty Images
boeing The union announced Saturday that the machinists’ and machinists’ unions have agreed to a new contract, outlining a deal that could end more than a month of strikes that have hampered aircraft production at the aircraft manufacturer. revealed.
A ratification vote is scheduled for Wednesday.
The new proposal includes a 35% wage increase over four years, a $7,000 signing bonus increase, a guaranteed minimum payout in the annual bonus program and increased 401(k) contributions.
Acting U.S. Labor Secretary Julie Hsu met with both parties earlier this week. “With the assistance of Acting U.S. Secretary of Labor Julie Su, we have received a negotiated proposal and resolution to end the strike that deserves to be presented to our members and worthy of consideration.” said the International Machinists and Aerospace Workers Association District. 751 said in a statement Saturday.
The strike began on September 13 after more than 30,000 mechanics overwhelmingly rejected an interim agreement that included a 25% wage increase over four years. Boeing then made a softer offer, but the union slammed the deal, saying that negotiations had not been reached.
Boeing said in a statement that it “looks forward to our employees voting on the negotiated proposal.”
Boeing is working to stem the flow of money as it grapples with a safety crisis stemming from a near-catastrophic door plug explosion on one of its 737 Max planes earlier this year and other program challenges. .
Earlier this month, the company reported significant losses in its commercial and defense divisions and announced it would seek compensation of about $5 billion. If the deal is ratified on Wednesday, when Boeing also releases its full financial results, it would be a victory for new CEO Kelly Ortberg, who took the top job at Boeing in August and was tasked with turning the company around.
On October 11, he announced that Boeing would cut 10% of its workforce and that the company would stop producing 767s once orders are completed in 2027.
