US Boeing workers continue midwest strike after rejecting latest contract offer | US news

Boeing workers at three Midwest factories where military planes and weapons are developed voted Sunday to reject the company’s latest contract offer and continue a strike that began nearly three months ago.

The strike by about 3,200 machinists at factories in Mascoutah, Ill., and the cities of St Louis and St Charles, Mo., is smaller than last year’s strike by Boeing’s 33,000 workers who assemble commercial jetliners, but threatens to complicate the aerospace company’s progress in finding its financial footing.

“Boeing claimed to have listened to its employees – the outcome of today’s vote proves that is not the case,” Brian Bryant, president of the International Association of Machinists and Aerospace Workers, said in a statement. “Boeing executives continue to insult the very people who build the world’s most advanced military aircraft – the same military aircraft and systems that keep our military and our nation safe.”

Boeing said it was disappointed with the result and stressed that the vote had been close. The company said in a statement that it is hearing from more workers “who want to cross the picket line” and “understand the value of our offering.”

The five-year offer was largely the same as offers previously rejected by union members. The company reduced the ratification bonus but added $3,000 worth of Boeing stock vesting over three years and a $1,000 retention bonus over four years. It also improved wage growth for workers at the top of the pay scale in the fourth year of the contract.

“The union’s statement is misleading since the vote failed by a very small margin, 51% to 49%,” the Boeing statement read. “We are focused on executing the next phase of our contingency plan to support our customers.”

The machinists’ union acknowledged the vote was close, but said in a message to members that “very few” workers crossed the picket line.

“Our solidarity remains strong and the company’s claims to the contrary are false,” the union said.

Union leaders have been pressuring the planemaker for higher pension contributions and a ratification bonus closer to the $12,000 Boeing gave to striking union members last year in the company’s commercial airplane division in the Pacific Northwest. Boeing argued that workers’ demands exceed the cost of living in the Midwest.

Before Sunday’s vote, the union told its members it was not recommending approval of the company’s latest offer, which it said “did not provide any significant improvement” in retirement benefits and pay increases for more senior workers.

“It’s long past time for Boeing to stop underestimating the workers who make its success possible and negotiate a fair deal that respects their skills and sacrifices,” Bryant said.

Negotiations intensified over the summer in the days leading up to the strike, with workers rejecting an earlier proposed deal that called for a 20 percent wage increase over the life of the five-year contract.

Boeing quickly responded with a modified agreement that did not increase the proposed wage increases but removed a scheduling provision affecting workers’ ability to earn overtime. The workers also rejected this offer and went on strike the next morning. They also voted against the revised terms in September.

The company said it was prepared for a strike, with a contingency plan in place “to ensure our non-striking workers can continue to support our customers.”

Boeing’s defense, space and security businesses account for more than a third of the company’s revenue. Boeing is expected to report third-quarter results on Wednesday.