Boeing is facing a major production halt following a massive vote by its workers to go on strike. Represented by the International Association of Machinists and Aerospace Workers (IAM), the employees overwhelmingly rejected a proposed contract, leading to the strike that began at midnight local time.
On Thursday night, IAM District 751 reported that 94.6% of its members voted against the contract offer, which included a 25% pay increase over four years. Furthermore, 96% of the union members supported the strike, according to CBS.
The strike vote, which required a two-thirds majority from the 33,000 workers, mostly in the Seattle area, clearly indicates a strong mandate for the action.
“This is about respect, this is about the past, and this is about fighting for our future,” declared Jon Holden, IAM District 751 President, addressing a cheering crowd at the union hall. The hall erupted with chants of “Strike! Strike! Strike!”
In response, Boeing, which has been struggling with both a damaged reputation and financial issues, expressed its willingness to return to the negotiating table. “The message was clear that the tentative agreement we reached with IAM leadership was not acceptable to the members,” the company said. “We remain committed to resetting our relationship with our employees and the union.”
CBS reported that the announcement of the vote results on the night of September 13, 2024, was met with cheers from union members at a Seattle hall, highlighting their discontent with the proposed contract.
Boeing’s year has been fraught with difficulties, including a panel failure that caused a significant hole in one of its passenger jets in January and NASA’s decision to keep two astronauts in space rather than return them on a malfunctioning Boeing spacecraft. A strike could exacerbate Boeing’s financial woes by delaying crucial plane deliveries, presenting a significant challenge for new CEO Kelly Ortberg, who has been tasked with reversing a $25 billion loss over the past six years and catching up to European rival Airbus.
Ortberg has warned that a strike could undermine Boeing’s recovery efforts and erode customer trust. He made a final appeal to the machinists, stressing that a strike would harm the company’s progress and damage relationships with clients.
Throughout the week, union members have expressed their dissatisfaction with the proposed contract on social media. On Thursday, they further demonstrated their displeasure by blowing whistles, banging drums, and holding signs advocating for the strike outside a union hall near Boeing’s 737 Max plant in Renton, Washington.
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