BusinessCompany News

Actions

With a strike looming weeks away, Boeing and machinists union negotiate contract

This is the first time in 16 years that Boeing machinists are able to negotiate an entirely new contract.
The Boeing 787 Dreamliner taxis after its landing.
Posted

While the country's attention has been focused on the DNC and the race for president, Boeing and the union representing thousands of its machinists in the Pacific Northwest has been deep in around-the-clock contract negotiations.

Taking a short break from the 12-hour days spent in a downtown Seattle hotel, International Association of Machinists and Aerospace Workers, or IAM, District 751 president Jon Holden says, with 3 weeks to go, Boeing and the union representing its machinists don't yet see eye to eye.

"We've been meeting multiple times a day, spending hours with our committees, crafting proposals and counterproposals. And we are still far apart on many of the issues," said Holden.

This is the first time in 16 years that Boeing machinists are able to negotiate an entirely new contract.

"We're fighting for our current members, those that follow behind us — but the whole region, the communities we live in, and we literally are fighting for everyone," said Holden.

RELATED STORY | Boeing grounds 777X test fleet after finding issue with key engine part

Earlier this summer, the 33,000 union members rallied and voted to authorize a strike if no agreement is made by the deadline, now weeks away.

Along with a large pay increase of 40% over 3 years, the union is fighting for better health and retirement benefits as well as getting the next all-new airplane built in Washington, which Holden says will provide crucial job security and help sustain the local economy.

And for the first time, the union is demanding articles in the contract that will guarantee that Boeing — which has seen a cascade of controversies and quality issues since the Alaska Airlines door plug blow-out of Jan. 5 — will give machinists more of a say in the safety and quality of the airplanes.

"We have never felt the need to propose those things in the past, but we do today. And it's our reputation that's at stake along with the company's. It's our jobs that are at stake. And it's important for us to have a say in any changes to the quality management system and how that impacts the production system and the quality of the airplane," said Holden.

Boeing told Scripps News that while their lead negotiator is not doing interviews, they say they are "confident we can reach a deal that balances the needs of our employees and the business realities we face as a company."

"A strike of this size in an industry and a company as important as Boeing will have a major impact," said Harley Shaiken, professor emeritus at UC Berkeley who specializes in labor and the global economy.

He says that while the flying public won't feel an impact at the airport when it comes to flight delays unless the strike lasts for a long time, this strike would set off a domino effect of impacts throughout both local economies where factories are and the global economy, as Boeing's suppliers depend on the company's success.

With the pressure that Boeing has been under lately to rebuild their public image and trust among stakeholders, that pressure is most likely being felt at the negotiating table

"They're going to have pressure from every side imaginable. And then some of the suppliers don't want to be idled, which is positively what happens if Boeing goes on strike," said Shaiken.

While negotiations continue, Shaiken believes with Boeing's reputation on the line, paired with momentum from recent labor victories across the nation, there's a chance this may end with a satisfied union.

"Better-paid workers with better benefits, but more competitive companies with higher quality: That's all a possibility. The 12th is the deadline. We may go right up to that deadline. A strike is certainly possible, but by no means assured," he said.

RELATED STORY | Boeing names new president and CEO following big second quarter loss