Boeing Criticizes Union Proposal Following Approval of Labor Agreement by Striking Employees
In a recent development, Boeing Defense, a division of Boeing Co., has not accepted the contract terms approved by the majority of striking employees of IAM District 837 in St. Louis. This decision comes after a nearly seven-week impasse in manufacturing at three factories where Boeing builds military aircraft.
The union, representing around 3,200 hourly workers, has submitted a pre-ratified proposal to Boeing for consideration. The proposal includes an average 20% guaranteed wage increase over four years and a $10,000 signing bonus. However, these terms are not part of Boeing's previous offer, as stated by Dan Gillian, Boeing's vice president and general manager.
Gillian emphasized the need for a contract that is sensible in the Midwest, not the Pacific Northwest, referring to the deal won by Seattle-area workers last year, which included a $12,000 ratification bonus. He did not clarify whether Boeing's previous offer includes the same terms as the Seattle-area workers' deal.
The union's strategy is aimed at ending the strike, but Boeing Co. has announced it will not consider the new contract proposal. Gillian added that the union's proposal does not reflect the reality of the situation in the St. Louis area. He also did not comment on the union's strategy of aiming for gains similar to those won by Seattle-area workers.
The current impasse remains unresolved, with Boeing expressing its desire for all 3,200 teammates to return to work, but with a contract that is acceptable in the Midwest. Gillian stated that Boeing's previous offer would make the St. Louis team among the highest paid manufacturing employees in the area.
The proposed terms are a first public indication of what might be needed to win labor peace after the machinists rejected three previous company offers. Local union members are pushing for gains closer to the deal won by striking Seattle-area workers last year.
Boeing's senior leader in the region has criticized the union's tactic, stating it is not rooted in reality. The union drafted the terms without consulting Boeing management. Despite this, the union's strategy continues to aim at ending the strike and securing a contract that aligns with the needs and expectations of its members in St. Louis.
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