More than 3,000 striking Boeing defence workers are set to vote on Thursday regarding a revised contract proposal that more closely aligns with their demands.
Boeing’s latest offer – which has been endorsed by union leaders from IAM District 837, the group behind the strike – includes an upfront “ratification bonus” of $6,000. If accepted, the workers, who have been on strike since August 4, would return to their jobs in Missouri and Illinois.
The new offer replaces an earlier proposal that included a $3,000 signing bonus and $3,000 in restricted stock. The initial contract, which was narrowly rejected by workers on October 26, also contained a $1,000 “retention bonus” for the fourth year, but this has been dropped in the updated version.
Boeing has previously indicated that it was recruiting replacement workers for those on strike. However, the company confirmed that striking employees would still have their positions if the revised contract is ratified.
“We will guarantee that all IAM 837 members will be returned to work if this offer is ratified. No one would be displaced,” said Steve Parker, President and CEO of Boeing Defence, Space and Security, in a statement. “This is not something we will be able to guarantee moving forward.”
Union Leaders Back the Offer
Union leaders with the International Association of Machinists and Aerospace Workers (IAM) had initially pushed for a bonus more in line with the one received by IAM members in the Pacific Northwest last November, following a seven-week strike. In that dispute, Seattle-area IAM workers secured a $12,000 signing bonus after shutting down two major Boeing commercial airline manufacturing plants.
Although union representatives acknowledged that securing a similar bonus for workers in the Midwest would be difficult due to the lower cost of living in areas like St. Louis compared to Seattle, they had pushed for a $10,000 bonus at one stage during negotiations.
Despite this, IAM District 837 leaders have backed Boeing’s latest offer, citing the shift towards a $6,000 up-front bonus as a positive development. In a message to members, the union stated it “recommends acceptance of the offer.”
“If ratified, return-to-work would begin with the third shift on Sunday, Nov. 16,” the message added.
The Boeing machinists, based in Missouri and Illinois, work on various military aircraft, including the F-15 and F-18 combat jets, the T-7 Red Hawk Advanced Pilot Training System, and the MQ-25 unmanned aerial vehicle.