Boeing Workers Vote On New Contract As Possible Strike Looms

Boeing employees are voting today whether to support a potentially devastating strike in the Seattle region, with workers weighing in on a new contract as the old one expires Thursday.

Boeing has agreed to a tentative agreement that offers a 25% wage hike for the next four years the 33,000 workers involved. The deal is in line with recent contracts with the United Auto Workers (UAW) last year, but IAM workers have reacted harshly to the offer.

"I know the reaction to our tentative agreement with the IAM has been passionate," Boeing CEO Kelly Ortberg wrote to workers. "I understand and respect that passion, but I ask you not to sacrifice the opportunity to secure our future together, because of the frustrations of the past."

Boeing has won the endorsement of International Association of Machinists and Aerospace Workers (IAM) representatives. However, Boeing workers have demanded up to 40% raises and the return of a defunct pension plan so the vote outcome is far from a done deal.

"We have achieved everything we could in bargaining, short of a strike," IAM President Jon Holden told union members. "We recommended acceptance because we can't guarantee we can achieve more in a strike. But that is your decision to make and is a decision that we will protect and support, no matter what."

The vote comes amid a series of setbacks for Boeing, including the ongoing issues with its 737 MAX and 777 and its botched Starliner space mission. The president of Boeing's commercial plane division, Stephanie Pope, said the contract delivers the largest-ever wage hike despite the company's $60 billion in debt.

If the deal is rejected, a two-thirds majority must vote on a second question of whether to strike. If the contract fails to win a majority but a strike vote also falls short, the contract offer is accepted by default, according to IAM rules.