EVERETT, OCT. 24: Boeing Machinists rejected the company’s latest offer with 64% of voters against, the union announced Wednesday night.
The strike that has reached nearly five weeks will continue until a new offer is negotiated between the International Association of Machinists and Aerospace Workers (IAM) and Boeing leadership.
Jon Holden, President of IAM District 751 and Brandon Bryant, President of IAM District W24 released a joint statement saying, “Ten years of holding workers back unfortunately cannot be undone quickly or easily, but we will continue to negotiate in good faith until we have made gains that workers feel adequately make up for what the company took from them in the past.”
Boeing has not released a statement as of early Oct. 24 regarding the outcome of the vote.
We will continue to follow this story.
EVERETT, OCT. 23: In the cold, foggy October morning, Boeing Machinist union workers gathered at the Angel of the Winds Arena to cast their vote on the latest contract from the company. Many were excited to see their coworkers, embracing and sharing a few laughs.
But the seriousness of the day loomed as 33,000 members of the International Association of Machinists and Aerospace Workers (IAM) voted on a contract deal that could end the strike that has lasted for five weeks.
Before the vote this morning Boeing released an earnings report showing the company had lost $6.1 billion over the most recent quarter, primarily from the work halted due to the IAM strike.
The new contract deal proposed over the weekend offers a 35% raise over the four-year duration of the contract. During initial talks union leadership demanded a 40% pay increase.
The proposal also increases Boeing contribution to a 401 (k) plan but doesn’t reinstate the pension many workers are holding out for. The primary ratification bonus was increased from $3,000 to $7,000 as well.
Many of the union workers from the Everett Boeing facility, said that they would be rejecting the offer they told the Everett Post. Some of the workers are holding out for pension to be reinstated, something that was taken away in contract negotiations in 2014.
Union worker Austin Meier criticized the 35% offer, which results in a compounded raise of approximately 39.8% over four years. In the first year, the offer presents a 12% increase. The next two years have 8% boost and then ending at a 7% boost increase at year four.
“It’s not what we want. They are presenting it as if it’s what we want at the end of the four years. We need that [wage increase] now… Boeing will spend billions to save millions. We don’t know what inflation is going to do, that’s what sucks about the last contract of 10 years, we couldn’t keep up with inflation,” Meier said.
Joseph Hollingsworth, team lead at the Everett facility, has worked at Boeing for 12 1/2 years. He said that people shouldn’t have to work overtime to make a living. In a contract that he would approve, the pension would need to be reinstated, and a 40% gross wage increase on a 40-hour week, not including overtime.
Others said that they are rejecting the offer to tackle the “smaller fights” of paid time off and better medical benefits.
Ben Rice, who has been with Boeing for 10 years, is also voting no because of the “mandatory overtime” that impacts the time he can spend with his family.
“No one should be forced to be there if they don’t want to… I feel like the union and Boeing hasn’t touched base on this enough,” Rice said.
He said that fear of saying no to overtime impacts the overall livelihood of workers, whether they need the money or are worried about being fired if they refuse.
In coverage from The Seattle Times, they found that union workers were split on the offer. One of the union workers interviewed said that the strike has gone on long enough that “some people are desperate” and will say yes to start receiving income again.
If the current contract is rejected, Boeing production will continue to slow, resulting in more layoffs. It will also impact businesses in the Puget Sound area this holiday season, as fewer Boeing workers spend their money in the area economy and elsewhere.
The results will be released around 9 p.m. tonight, Oct. 23.
Edited at 1:37 p.m. to include the compounded percentage amount.
