Boeing proposes 'final' offer to striking workers; the union rejected the vote By Reuters
Written by Allison Lampert and David Shepardson
(Reuters) – Boeing raised its wage offer for thousands of striking workers on Monday, in what it called “the best and last offer”, but the largest union of aircraft manufacturers said the terms were not good enough and would not put the proposal to a vote.
The American aircraft designer also offered to restore the performance bonus, improve retirement benefits and double confirmation bonus to $6,000 if the workers accept the offer on Friday, according to a letter sent to International Association of Machinists and Aerospace Workers officials by the company.
IAM Local 751 said it will not hold a new vote on the proposal, pending its passage on Friday.
The union said it was done without a new round of negotiations and added that Boeing (NYSE: ) has refused to agree to new negotiations, arbitration or meetings with the union.
“This proposal is not serious enough to address your concerns, and Boeing missed the mark with this proposal,” the union said. “They are trying to create discord among our members and undermine our unity with this divisive strategy.”
More than 32,000 Boeing workers in Portland and the Seattle area walked off the job on Sept. 13 in the first union strike since 2008. Workers, who want 40% higher wages. provided by the company.
The union represents workers who build the best-selling Boeing 737 MAX and other planes.
Boeing is under intense pressure to end the strike, which could cost billions of dollars, disrupt the already troubled company's finances and threaten to downgrade its credit rating. The two sides stopped negotiating last week.
A company spokesman said Monday, “After listening to our employees and their concerns, Boeing today presented our best and final proposal” to union leaders. On Monday evening, Boeing did not immediately comment on the union's decision not to vote on the company's proposal.
The CEO of Boeing, Stephanie Pope, had told the workers before the strike that the company held nothing back and that its offer at the time was the best deal they could get.
“Workers knew Boeing management could do better, and this shows that workers have been right all along,” IAM President Brian Bryant said in a statement.
The strike is the latest event in a tumultuous year for the company that began with an incident in January when a crew member walked out on a new 737 MAX plane mid-air.
A previous deal between Boeing and the union that offered 25% raises over four years and a commitment to build a new plane in the Seattle area if it was introduced during the four-year deal was voted down by more than 90%. of workers this month.
Boeing has halted hiring and begun laying off thousands of American workers to cut costs during the strike. Boeing has scheduled workers to take one week off work every four weeks during the strike.
The broad coverage shows that new CEO Kelly Ortberg is preparing Boeing for a long strike that may not be resolved given the anger among top workers.
North American unions have cashed in on tight labor markets to win big contracts at the bargaining table, with top pilots, auto workers and others getting bigger wages by 2023.
The IAM said its 5,000 members in Wichita, Kansas have gone on strike against Cessna business jet maker Textron (NYSE: ) since Monday.
