Boeing Defense Workers Reject Contract in New Labor Turmoil

(Bloomberg) – Boeing Co., after rejecting union workers for four years, a contract offer that would increase by 20% for four years. Louis is at risk of strike at the defense center.

The local 837, the International Machinery and Aviation Workers Association, representing 3,200 Boeing defense workers in Missouri and Illinois, voted overwhelmingly against new terms.

Together, Boeing offers that the company’s talented labor force is inadequate in addressing priorities and sacrifices ”. “Our members are standing together to demand a contract that respects their work and provides a safe future.”

While the current contract ends at 23:59 on Sunday, the management still has the chance to win the rank and file members by sweetening their offer during a seven -day “cooling” period. If this fails, IAM will leave the work of 837 local workers and close production at Boeing’s military aircraft center.

The aviation and space manufacturer has been trying to avoid another stance by the Seattle -based Mechanists Union for more than two months last year after a disability in commercial jet factories.

Boeing could not be reached immediately for a comment.

Any effort will be expensive for Boeing’s defense section, which has not made annual profits since 2022 and is in the midst of a return. A strike would close the assembly lines for Boeing’s F-15 and F/A-18 warrior jets, T-7A instructor, MQ-25 drone reluller and other weapon systems.

The uncertainty of labor will be a focus for analysts when Boeing declares a three -month earnings on Tuesday. Ge Aerospace is also a bell on Sunday, as it launched a separate IAM local contract negotiations.

According to Melius Research’s analyst Scott Mikus, St. Louis workers went to strike in the last 1996, and unlike Boeing’s unions in the northwest, there is no activism history.

The union members rejected the administration’s proposal during the last negotiation with Boeing in 2022 before accepting a three -year agreement with 14% general wage increase and life cost corrections.

Puget Sound Labor leaders approved the first offer of Boeing last year, rejected by a 10 -year contract, which eliminated pensions and locked up to low -paid increases while inflation rises.

Long strike squeezed the company’s working capital and encouraged Boeing to sell about $ 24 billion worth $ 24 billion.

-With the help of Bill Haubert.

(In the third paragraph, updates with comments from the union, try to reach Boeing in the fifth paragraph.)

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