In a potentially damaging development for Boeing, more than 3,000 defence workers have walked off the job following a rejection of the company's latest contract offer. This strike, which centers on the production of F-15 fighter jets and other military aircraft, has been initiated by workers from operations in Missouri and Illinois, where union members expressed dissatisfaction with pay, scheduling, and pension terms.
Dan Gillian, vice president of Boeing's Air Dominance unit, expressed disappointment over the union's decision, stating that the rejected offer included a notable 40% average wage increase. This strike marks Boeing's first significant labor action in the defence sector since 1996, highlighting ongoing tensions and challenges for the company.
"3,200 highly-skilled IAM Union members at Boeing went on strike at midnight because enough is enough. This is about respect and dignity, not empty promises," the union posted on social media platform X. The striking employees are represented by the International Association of Machinists and Aerospace Workers (IAM), which boasts a membership of around 600,000 in various sectors, including aerospace and manufacturing.
Simultaneously, Boeing's CEO Kelly Ortberg sought to minimize the strike's potential impact, suggesting it would be less significant compared to a previous strike last year that had far-reaching consequences, costing the company billions. Boeing's recent history is marred with a series of setbacks, including safety issues and a high-profile eight-week strike involving passenger plane workers.
As Boeing navigates a turbulent period marked by accidents and reduced production output—delivering only 348 aircraft last year, its lowest since the pandemic—the future remains uncertain. The firm continues to face critical challenges such as the aftermath of two deadly crashes involving its 737 Max planes and ongoing safety scrutiny.
Dan Gillian, vice president of Boeing's Air Dominance unit, expressed disappointment over the union's decision, stating that the rejected offer included a notable 40% average wage increase. This strike marks Boeing's first significant labor action in the defence sector since 1996, highlighting ongoing tensions and challenges for the company.
"3,200 highly-skilled IAM Union members at Boeing went on strike at midnight because enough is enough. This is about respect and dignity, not empty promises," the union posted on social media platform X. The striking employees are represented by the International Association of Machinists and Aerospace Workers (IAM), which boasts a membership of around 600,000 in various sectors, including aerospace and manufacturing.
Simultaneously, Boeing's CEO Kelly Ortberg sought to minimize the strike's potential impact, suggesting it would be less significant compared to a previous strike last year that had far-reaching consequences, costing the company billions. Boeing's recent history is marred with a series of setbacks, including safety issues and a high-profile eight-week strike involving passenger plane workers.
As Boeing navigates a turbulent period marked by accidents and reduced production output—delivering only 348 aircraft last year, its lowest since the pandemic—the future remains uncertain. The firm continues to face critical challenges such as the aftermath of two deadly crashes involving its 737 Max planes and ongoing safety scrutiny.