Boeing factory workers voted on Wednesday to reject the company’s latest contract offer, opting to continue a strike that has now stretched into its sixth week.
The strike, which began on September 13, has halted production of some of Boeing’s most important aircraft, including the 737 Max, and contributed to financial strain on the aerospace company.
Union leaders from the International Association of Machinists and Aerospace Workers (IAM) reported that 64% of members voted against the revised offer. This proposal included a 35% pay raise over four years, but workers expressed dissatisfaction with key issues, such as the absence of a restored traditional pension plan, which was frozen a decade ago.
“After 10 years of sacrifices, we still have ground to make up, and we’re hopeful to do so by resuming negotiations promptly,” said Union President Jon Holden.
He described the vote as a reflection of workplace democracy, while underscoring longstanding grievances over worker treatment.
The strike comes during a challenging period for Boeing, which is grappling with financial losses and safety concerns. Boeing recently reported a third-quarter loss exceeding $6 billion, exacerbated by delays in aircraft deliveries caused by the walkout. This strike has further complicated Boeing’s efforts to recover, with production disruptions affecting major suppliers and intensifying the pressure on the company’s finances.
Workers voiced concerns about both the pension system and healthcare costs, with many stating that these issues, along with wage increases, are central to their decision to remain on strike. As negotiations continue, Boeing faces the challenge of addressing these concerns while managing its financial recovery and restoring its operational stability.
Despite the ongoing strike, Boeing’s leadership, including CEO Kelly Ortberg, remains focused on turning the company around. Ortberg, in his first earnings call since assuming the role in August, acknowledged that the company faces deep-rooted challenges but expressed optimism about Boeing’s long-term potential.
With input from the Associated Press, Bloomberg, and the Washington Post.
