Boeing employees have rejected a recent 35% pay rise, committing to more strikes as the company faces huge losses and delivery delays.
As many as 33,000 workers at Boeing plants in Washington state, Oregon and California rejected a proposal to raise wages by just over a third over four years, with their union saying “after 10 years of sacrifice, we still have ground to make up.”
Just hours ago, the aircraft maker published results showing massive losses of $6bn (£4.6bn) for just three months, partly due to industrial action as it deals with the fallout from the Covid-19 crisis. Blowing the door Alaska Airlines 737 MAX in January and associated aircraft Delivery delay.
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Machinists’ strikes are estimated to cost tens of millions of dollars a day, with one Aubrey Capital Management analyst, Anna McDonald, estimating the figure at a daily loss of up to $100 million for the company.
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that it The second offer was rejected By members of the International Association of Machinists and Aerospace Workers (IAW) union. She added that negotiations would resume “immediately.”
What does the union want?
The rejected offer included a one-off bonus of $7,000 (£5,390) along with retaining performance bonuses that Boeing wanted to reduce and additional retirement contributions.
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Reintroducing a defined benefit retirement plan that was frozen a decade ago and had been a priority for many union members has been ruled out.
The IAW said employees are seeking “to make up for nearly 10 years of wage stagnation and numerous concessions that were part of previous negotiations.” “Their strike will continue, and the union said it plans to immediately send new dates for further negotiations to the company.”
What’s happening at Boeing?
One of the largest exporters in the United States, Boeing has struggled with regulatory oversight Component glitches.
the New CEO Kelly Ortberg It was announced earlier this month Loss of 17 thousand jobs – 10% of its workforce.