AP Photo/Manuel Valdes
The IAM Machinists strike at Boeing has ended, as the rank and file members have voted to accept the latest contract offer by a vote of 59% in favor and 41% against. This means workers can return to their shifts beginning as early as Wednesday and no later than November 12th, and that Boeing can resume full production shortly thereafter.
The latest contract proposal includes a 38% wage increase over the next four years, which compares quite favorably with the 31% wage increase from 2002 to 2024. It also includes an immediate decrease in monthly health insurance premiums, a commitment to launch the next airplane program in the Pacific Northwest, reduced designated overtime, paid parental leave, improved short-term disability insurance, added eligibility for retirees for medicare advantage, an improved 401(k) match, adding the cost of living adjustment to minimum rates. and a $12,000 one-time ratification bonus.
The strike ending will have a positive impact on the supply chain, as Boeing will quickly resume cutting purchase orders and the ability to finalize their delivery skyline to customers with more certainty.
This is good news for both Boeing and the industry.
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