To avoid strike, Boeing promises 25% pay hike–and to build next jet in Seattle

Boeing has reached a tentative agreement with the Machinists union, representing 33,000 West Coast employees, to avoid a potential strike. The proposed contract includes a historic 25% pay increase over four years, lower healthcare costs, enhanced retirement contributions, and improved work-life balance. Additionally, Boeing has committed to building its next new airplane in the Puget Sound region, reversing previous considerations to shift production to a non-union plant in South Carolina. The union had initially sought a 40% pay raise but described the deal as the best contract negotiated in their history. The agreement also includes provisions for workers to address safety concerns directly with Boeing's aerospace safety committee. Boeing's financial struggles, including significant losses since the grounding of the 737 Max, have made a strike particularly detrimental for the company. The union is urging members to vote in favor of the deal, emphasizing the importance of unity and the potential for recovery. The vote is scheduled for September 12, and if rejected, workers may proceed with the strike.

- Boeing has proposed a 25% pay increase to avoid a strike.

- The contract includes commitments to build the next airplane in Seattle.

- Workers will have a role in discussing safety issues with Boeing.

- The union describes the deal as the best contract in its history.

- Boeing's financial difficulties make a strike particularly risky for the company.