On Sunday, Boeing announced a tentative pay agreement with the International Association of Machinists and Aerospace Workers (IAM). The deal, which affects over 33,000 employees, concludes weeks of intense talks and avoids a potential strike.
Stephanie Pope, Boeing Commercial Airplanes President and CEO, said, “We’ve heard what’s important to you. We’ve reached a historic agreement that takes care of you and your family.”
The proposed contract includes the largest-ever general wage increase, lower medical costs, increased retirement contributions, and improved work-life balance.
Union Demands and Boeing’s Future Plans
The IAM had sought a 40 percent pay increase in their first full negotiation with Boeing in 16 years. Pope highlighted Boeing’s commitment to the Pacific Northwest, stating, “Boeing’s roots are in Washington, where generations have built planes that connect the world.”
The contract will see the Puget Sound team build Boeing’s next new airplane, providing long-term job security. This commitment also strengthens Boeing’s ties to the local community.
The IAM represents workers in Washington (IAM 751), Portland, Oregon (W24), and a small group in California. This negotiation marks the first full talks between Boeing and IAM 751 and W24 in 16 years. Employees had approved contract extensions in 2011 and 2014, with the current extension beginning in 2016.
Boeing designs, manufactures, and services commercial airplanes, defense products, and space systems for customers in over 150 countries.
Also Read: Dalal Street Plunges: Sensex Tanks 1,000 Points, Rs 5 Lakh Crore Wiped Out
