SEATTLE—Boeing, on Sunday, September 8, reached a tentative agreement on a historic contract offer with International Association of Machinists (IAM) Districts 751 and W24, which represents over 33,000 Boeing employees. Union members are expected to vote Thursday, September 12 on the agreement as a possible strike looms the following day.
At 25 percent, the tentative agreement with IAM provides the largest-ever wage increase for Boeing production workers in Washington state and Oregon. Below are additional highlights in the tentative agreement:
- A $3,000 lump sum payment within 30 days if the bargaining agreement is ratified by 11:59 p.m. on September 12, 2024, with the ability to defer all or part to your Boeing 401(k).
- New Boeing contribution of up to $4,160 per employee per year to the union’s 401(k) plan.
- Paid parental leave would begin Jan. 1, 2025. At that time, you can also use this benefit if you welcomed a new child between Sept. 13 and Dec. 31, 2024.
- A lower cost share for health care, plus plan improvements such as a new free primary care benefit and a new company-paid long-term disability plan.
- Effective January 1, 2025, and each January 1 thereafter, employees would receive one annual floating holiday to be used in a full day increment. Employees can use it on a holiday or any other day they choose with advance scheduling. It must be used before the end of each year.
To leverage job security for tens of thousands of Boeing production workers, Boeing committed to building its next new commercial airplane in Puget Sound, only if the bargaining agreement is ratified by 11:59 p.m. on September 12, 2024, according to the agreement.
Demands to keep the 787 Dreamliner program in Washington were part of IAM’s last strike against Boeing in 2008 where, after 57 days, the union and manufacturer agreed upon increased wages of 15% plus a renegotiated bonus structure. However, Boeing’s announcement on October 1, 2020, to relocate the 787 Dreamliner program to South Carolina in 2021 was met with criticism.
“Boeing’s success as a company is a credit to the workers and taxpayers of Washington state,” Governor Jay Inslee released in a statement on the Boeing Company’s decision to move all 787 Dreamliner production to South Carolina. “Today’s announcement is an insult to the hardworking aerospace employees who build 787s.”
Boeing Commercial Airplanes President and CEO Stephanie Pope shared the following in a video message to employees regarding Sunday’s tentative agreement:
“We’ve what’s important to you for the new contract. And we have reached a tentative agreement with the union on a historic offer that takes care of you and your family. The contract offer provides the largest-ever general wage increase, lower medical cost share to make healthcare more affordable, greater company contributions toward your retirement, and improvements for a better work-life balance.
Just as important, this contract deepens our commitment to the Pacific Northwest. Boeing’s roots are here in Washington. It is where generations of workers have built incredible airplanes that connect the world. And it’s why we’re excited that, as part of the contract, our team in the Puget Sound region will build Boeing’s next new airplane. This would go along with our other flagship models, meaning job security for generations to come. It’s a big commitment to you and to our community.”
🚨🚨Breaking News 🚨🚨
We did it!
Machinists Reach Historic Tentative Agreement with the Boeing Companyhttps://t.co/vgrnfn4vMd pic.twitter.com/1HCFl8F1he
— IAM Union District 751 (@IAM751) September 8, 2024
This is the first full negotiation between Boeing and IAM 751 & W24 in 16 years. After ratification of a new contract in 2008, employees approved two contract extensions in 2011 and 2014. The current 8-year extension began in 2016.
One Response
To each employee; you vote for what best suits your family, and your future!!! Your family is trusting you to keep a roof over their heads, food on the table, and clothing….. Do not let Boeing intimidate you with their threats.