A union representing striking machinists at Boeing said yesterday that members will vote on Wednesday on a new contract deal that includes a 35 per cent pay hike over four years that could end a more than month-old strike.
Around 33,000 of Boeing’s unionised West Coast workers, most in Washington state, have been on strike since September 13. The work stoppage has halted production of the planemaker’s best-selling 737 MAX and its 767 and 777 widebodies.
The latest offer includes a $7,000 ratification bonus, reinstated incentive plan and enhanced contributions to workers’ 401k retirement plans including a one-time $5,000 contribution plus up to 12pc in employer contributions.
Boeing on October 8 withdrew its enhanced offer that included a 30pc wage increase over four years, after talks also attended by federal mediators broke down. The union had been seeking a 40pc hike and restoration of a defined benefit pension.
International Association of Machinists and Aerospace Workers Local 751 said yesterday in a social media post that with the help of Acting US Secretary of Labour Julie Su they had received a proposal, telling striking workers it “is worthy of your consideration.”
On Monday, Su was in Seattle for her first in-person effort to help reach a new Boeing contract and returned on Thursday night to resume efforts after a trip to Detroit.
A spokesperson for Su said on Friday the secretary “is currently in Seattle having discussions with both parties. She has met the chief executive and the union and has been in touch multiple times throughout the process.”
Last on Friday, Boeing announced it would cut 17,000 jobs, or 10pc of its global staff and take $5 billion in charges, continuing a year of tumult for the company since a new Alaska Airlines 737 MAX 9 airplane suffered a mid-air emergency.
Boeing announced a window for up to $25bn in stock and debt offerings over the next three years on Tuesday, as well as a $10bn credit agreement.
In September, nearly 95pc of the West Coast workers rejected Boeing’s contract offer of a 25pc pay rise over four years, prompting the strike.
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