Boeing suspends negotiations as striking workers hold the line
Seattle, Washington - Boeing on Tuesday suspended negotiations with its striking workers as it accused the International Association of Machinists and Aerospace Workers (IAM) of making unreasonable demands and withdrew its offer.
"The union made non-negotiable demands far in excess of what can be accepted if we are to remain competitive as a business," the aerospace giant said in an email to employees late Tuesday. "Given that position, further negotiations do not make sense at this point and our offer has been withdrawn."
About 33,000 Boeing workers in the Pacific Northwest have been on strike for nearly a month in a fight focused on higher wages and improved retirement benefits.
Workers complain of more than a decade of near-flat wages during a period when inflation has risen.
Boeing's most recent offer included a 30% wage hike.
Negotiations, which included the Federal Mediation and Conciliation Service, resumed Monday and continued into Tuesday, but no agreement was reached.
"Our team bargained in good faith and made new and improved proposals to try to reach a compromise, including increases in take-home pay and retirement," Boeing said in the email, adding that "the union did not seriously consider our proposals."
"We remain committed to finding a resolution and will work with the union when they are ready to bargain an agreement that recognizes our employees and preserves our company's future," the email read.
Union negotiating committee responds to Boeing withdrawal
The union's negotiating committee told a different story.
"The company was hell-bent on standing on the non-negotiated offer that was sent directly to the media on September 23, 2024. They refused to propose any wage increases, vacation/sick leave accrual, progression, ratification bonus, or the 401k Match/SCRC Contribution. They also would not reinstate the defined benefit pension," read a statement on the IAM Union District 751's X page.
"Your negotiating committee attempted to address multiple priorities that could have led to an offer we could bring to a vote, but the company wasn’t willing to move in our direction."
The committee is planning to conduct a survey in the coming days to determine member priorities.
"Stand strong, brothers and sisters. We are all in this together. Boeing may have started this fight, but the Machinists will finish it."
Boeing announces new plane deliveries
Boeing announced earlier Tuesday that it had delivered 33 new aircraft to customers in September in spite of the strike.
The aerospace giant delivered 27 Boeing 737 MAX jets assembled in Renton, Washington, which has gone quiet since the strike launched on September 13.
The 737 MAX planes were cleared for delivery by the Federal Aviation Administration, according to Boeing, which expects fewer deliveries in the coming period due to the strike.
Airlines receiving new MAX planes included United Airlines, Ryanair, Southwest Airlines, Air India, China Southern Airlines, and Shenzhen Airlines.
Boeing also delivered four 787 Dreamliner planes, which are assembled at a non-union plant in Charleston, South Carolina, that is not out on strike.
Boeing has delivered 291 aircraft through the end of the third quarter, down 22% from the same period in 2023.
Prior to the IAM strike, which has also shuttered an Everett plant where the 777 is assembled, the FAA had limited Boeing's production following a January incident on Alaska Airlines in which a panel blew out mid-flight, necessitating an emergency landing.
Cover photo: REUTERS