Boeing Strike To Continue After Deal Rejected

Daniel-Fowkes-Profile
25 Oct 2024
2 min read
· Aircraft 
A Boeing 777 at the Renton facility being worked on

Boeing strike action will continue rampaging as employees who have walked off the job reject the American manufacturer’s latest offer.

A staggering 30,000 workers are on strike following a walkout on September 13 to secure a better contract that reflects inflation, their importance to the Boeing operation, and much more.

That strike is causing Boeing an overwhelming amount of harm, with its finances consistently taking a beating. Now, Boeing will burn cash throughout 2025 and is even looking to sell key assets to preserve its business.

A Rejected Deal At Boeing

Reports suggest the latest deal proposed was a 35% rise in wages across four years, but 64% opposed this, far exceeding the base 50% majority.

A 35% pay rise does fall 5% short of what the union representing these employees has been seeking, citing Boeing’s tough last decade as just another reason of the many why such a rise would be required.

Leading media publications call this strike, which has continued for five weeks, a blow to the beginning of new CEO Kelly Ortbeg’s tenure. Ortberg was tasked with turning around the business and ensuring a closer relationship between management and employees.

Ultimately, the last five weeks have been a disaster on all fronts, and the relationship between many has soured, especially focusing on the unions representing the employees.

However, the theme of a soured relationship is hardly new. Former employees who worked with the company in the 2010s detailed their displeasure with how things were handled, pay, and more.

These employees during this period share the same feelings as those who have walked off the job as 2025 approaches, which involves a general distaste towards the company that employs them.

Boeing has long had a problem with sourness between employees and upper management. That trust has not been aided by huge, unrealistic employee demands across the 2010s. This led to tight deadlines and quality issues being overlooked to ensure profits were met.

All these issues, among many others, are key catalysts for employees’ discontent with the planemaker and the many problems that have occurred in recent years.

Despite a rejection, however, there is optimism that the pair will work together to resume negotiations and try and reach another agreement that would see strike action end and these employees back on the job and focused on turning the ship around.

This walkout has affected programmes such as the 737 MAX, 767, and 777, and fresh delays to the 777X’s entry into service have also been announced. Rectifying the contracts is absolutely essential for many reasons, including stabilising output.

Daniel-Fowkes-Profile

ABOUT THE AUTHOR

Daniel Fowkes

Daniel Fowkes is a Melbourne-based aviation analyst and journalist with over a decade of industry experience. As founder of Dj’s Aviation, he delivers trusted analysis on aircraft, airline strategy and global aviation trends for djsaviation.net

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