SEATTLE — On Wednesday, October 23, Boeing factory workers voted to reject a contract proposal, prolonging a strike that has lasted over five weeks. This decision is a setback for both investors and management who were hoping for a resolution to the contentious situation.
The vote resulted in 64% opposing the deal, which promised a 35% wage increase over four years.
Union leaders emphasized that the vote reflects long-standing dissatisfaction among workers who feel wronged by the company in negotiations from a decade ago, worsening their financial challenges.
The union expressed readiness to resume negotiations immediately for a new contract, the first since 2014, when Boeing pressured employees by threatening to relocate production of the updated 777 model to finalize a deal that eliminated traditional pensions.
A strike sign was spotted in a Boeing worker's car as members of the International Association of Machinists and Aerospace Workers District 751 arrived to vote on the new contract proposal at a union hall in Renton, Washington, on October 23, 2024.
"After 10 years of sacrifices, we still have ground to make up, and we're hopeful to do so by resuming negotiations promptly," stated the leaders of the International Association of Machinists and Aerospace Workers after the votes were counted.
Over 30,000 machinists ceased work in Boeing's West Coast factories on September 13, halting production of popular models like the 737 MAX, 767, and 777.
This rejection marks the second formal vote against a contract offer; a prior offer was turned down by 95% of voting workers last month, leading to the ongoing strike.
Many workers and social media comments expressed skepticism about the proposed deal.
"We're ready to continue striking until we secure a better agreement," said Irina Briones, 25, after the vote.
"They manipulated the numbers to make it seem like they were offering us more than they actually were," remarked Josh Hajek, 42, who has been with Boeing for six years working on wing assembly.
The company faces the lingering concern of a quality crisis stemming from a January incident involving a mid-air panel blowout. In August, Boeing appointed a new CEO, Kelly Ortberg, who has acknowledged the need for a "fundamental culture change" within the company.
During its quarterly earnings call on Wednesday, Boeing stated it anticipates cash losses in 2025, with Ortberg warning that there is no quick solution for the struggling planemaker.
Many workers remain resentful about the contract signed a decade ago.
"We're determined to get what we want this time. We have a stronger position now than Boeing does," said Donovan Evans, 30, who works in the 767 jet factory near Seattle. He voted against the deal, expressing hopes for the 40% raise sought by the union, even though he doesn’t expect pensions to be reinstated.
Disclaimer: This image is taken from Reuters