Aviation: Boeing workers end seven weeks of strike

Striking Boeing workers accepted a new draft social agreement on Monday evening, ending a walkout of more than seven weeks, which cost the company more than ten billion dollars (nearly nine billion francs). and its suppliers.

After rejecting two offers, IAM-District 751, branch of the machinists’ union (IAM), indicated that it had approved by 59% the agreement providing for a salary increase very close to its demands, but not the restoration of the old retirement scheme.

More than 33,000 employees in the Seattle region, in the northwest of the United States, will return to two major assembly plants.

Salary increase of 38%

“The strike is going to end and it is now up to us to get back to work and start building the planes, raise prices and get this company back on the path to financial success,” said Jon Holden, president of IAM-District 751, during a press conference. “I am proud of our members,” he added. “They have accomplished a lot and we are ready to move forward.”

The project announced Thursday evening includes a salary increase of 38% over the four years of the social agreement. The union demanded 40%. Many employees also hoped for the reestablishment of the guaranteed amount retirement pension system – 42% of current union members had one -, abolished by a social agreement in 2014 in favor of a capitalization system.

“I think Boeing can do better. They can give us back our retirement and do more in terms of work-life balance,” said Mike Corsetti, quality inspector for 13 years, on Friday. But for Boeing, this backpedaling is inconceivable because it is “excessively expensive”. Kelly Ortberg, boss of the group since August, said he was “happy” that an agreement had been reached.

“Same team”

“The past few months have been difficult for all of us, but we are on the same team,” he said in a message to employees. He underlined “the importance of this moment for our history and for future generations”. “There is much work to be done to recapture the excellence that made Boeing an iconic company.”

According to the Anderson Economic Group, this is the costliest strike of this century in the United States with more than $11.56 billion in direct impact since September 13, including $6.50 billion in shortfalls. to gain for Boeing and 2.87 billion for its suppliers.

United States President Joe Biden “congratulated” the union and the firm “for reaching an agreement that reflects the hard work and sacrifices of the 33,000 machinists” and also mentioned the support of his economic team.

Primes

This is Boeing’s fourth offer since the beginning of September, but the third submitted to a vote by members. The first, rejected on September 12 by nearly 95% of union members who also voted for an immediate strike, provided for an increase of 25%. Boeing then proposed 30%, then 35% and, finally, 38%.

The group also reinstated an annual bonus (4% of annual salary), increased the ratification bonus (from 3,000 to 12,000 dollars) and increased the contribution to the capitalization retirement plan.

It has maintained its commitment to manufacturing its next plane – expected by 2035 – in the Seattle region, birthplace of Boeing, which represents a guarantee of tens of thousands of jobs for several decades.

The end of the strike is crucial for Boeing, in great financial difficulties because the walkout paralyzes the two factories producing the 737 – its flagship plane – the 777, the 767 and several military programs. Boeing customers were also waiting for the social conflict to be resolved.

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