The strike involving approximately 30,000 employees concluded as the International Association of Machinists and Aerospace Workers (IAM) announced that 59% of its members voted in favor of a new pay agreement, which includes a staggering 38% salary increase over four years. Workers can start returning as early as Wednesday or by November 12.
The industrial action, which began on September 13, had severely impacted Boeing’s operations, exacerbating existing financial issues. Under the new agreement, workers will also receive a one-time bonus of $12,000 and alterations to their retirement benefits, signaling a major victory for labor rights. IAM leader Jon Holden stated that the strike was crucial in achieving "respect and fair wages" for the employees.
Boeing's CEO, Kelly Ortberg, acknowledged the struggle but emphasized the need to unite as they look to rebuild the company's reputation and operational excellence. The White House took a keen interest in the negotiations, highlighting the national significance of the aerospace sector.
As Boeing grapples with substantial financial losses estimated at nearly $10 billion due to the strike, steps are already being taken to stabilize the company. This includes a recent share sale aimed at raising over $20 billion. Meanwhile, the firm faces further challenges as it announced a plan to lay off about 17,000 workers, with notices set to go out in mid-November.
Boeing's troubles also intensified early this year after a severe incident involving one of its passenger jets and scrutiny over its Starliner space project, pointing to a season of challenges as the company seeks to restore its status in the aviation industry.
The industrial action, which began on September 13, had severely impacted Boeing’s operations, exacerbating existing financial issues. Under the new agreement, workers will also receive a one-time bonus of $12,000 and alterations to their retirement benefits, signaling a major victory for labor rights. IAM leader Jon Holden stated that the strike was crucial in achieving "respect and fair wages" for the employees.
Boeing's CEO, Kelly Ortberg, acknowledged the struggle but emphasized the need to unite as they look to rebuild the company's reputation and operational excellence. The White House took a keen interest in the negotiations, highlighting the national significance of the aerospace sector.
As Boeing grapples with substantial financial losses estimated at nearly $10 billion due to the strike, steps are already being taken to stabilize the company. This includes a recent share sale aimed at raising over $20 billion. Meanwhile, the firm faces further challenges as it announced a plan to lay off about 17,000 workers, with notices set to go out in mid-November.
Boeing's troubles also intensified early this year after a severe incident involving one of its passenger jets and scrutiny over its Starliner space project, pointing to a season of challenges as the company seeks to restore its status in the aviation industry.
