Background on the Situation
Approximately 3,200 members of District 837 of the International Association of Machinists and Aerospace Workers (IAM) have rejected Boeing Defense’s latest contract offer, extending their strike into its seventh week. The workers, who assemble military aircraft and products in the St. Louis area, initiated their strike on August 4th after declining Boeing’s previous offer.
IAM’s Stance
Brian Bryant, President of IAM International, stated in a press release: “Our members in St. Louis have once again shown that they will not settle for Boeing’s half-measures. Boeing must start listening to its employees and come back with a meaningful offer that respects the sacrifices and skills of these workers.”
Details of the Rejected Offer
The rejected offer included smaller increases in pension contributions and a lower ratification bonus compared to a contract approved last year by IAM members at District 751, who assemble Boeing commercial airplanes in the Northwest.
“We are disappointed that our employees have rejected a five-year offer that included an average wage increase of 45%”, said Dan Gillian, Boeing Defense’s Vice President of Defense, in a statement.
“We have made it clear that the overall economic framework of our offer will not change, but we have systematically adjusted it based on employee and union feedback to better address their concerns,” Gillian added.
Next Steps
No further negotiations are currently scheduled, and Boeing continues to move forward with plans to hire permanent replacement workers.
Key Questions and Answers
- Who are the workers involved in this dispute? The workers involved are approximately 3,200 members of District 837 of the International Association of Machinists and Aerospace Workers (IAM) who assemble military aircraft and products at Boeing Defense in St. Louis.
- What was the content of the rejected contract offer? The rejected offer included a 45% average wage increase, smaller pension contribution increases, and a lower ratification bonus compared to a previously approved contract by IAM members who build Boeing commercial airplanes.
- Why did the workers reject the offer? The IAM members feel that Boeing’s initial offer does not adequately address their concerns and sacrifices, prompting them to reject the proposal.
- What are Boeing’s plans moving forward? Despite the rejection, Boeing intends to proceed with hiring permanent replacement workers while maintaining their proposed economic framework.
