Union members hold picket signs during a press conference following the count of the union contract vote at the main union hall of IAM District 751, Thursday, September 12, 2024, in Seattle, Washington, USA.
M. Scott Brauer Bloomberg | Getty Images
boeing company Chief Financial Officer Brian West said labor strike The strike, which began on Friday, will damage aircraft deliveries and “jeopardize” the company’s recovery, hours after factory workers went on strike and overwhelmingly rejected a new labor contract.
West said the financial impact of the strike would depend on how long it lasted, but it would affect production of the company’s best-selling aircraft. Speaking at an industry conference on Friday, West declined to say whether the company would be able to reach the production rate of 38,737 Max planes per month by the end of the year.
Jefferies aerospace analyst Sheila Kahyaoglu previously estimated that a 30-day strike could cost Boeing $1.5 billion.
Boeing and the International Association of Machinists and Aerospace Workers announced a tentative labor agreement Sunday, which includes a 25% wage increase over four years and other improvements to health care and retirement benefits. But workers have been seeking a 40 per cent pay rise, arguing it would not be enough to cover the increased cost of living.
Workers in the Seattle area and Oregon voted 94.6% against the proposal and 96% in favor of a strike.
They got off work after midnight on Friday.
This is breaking news. Please refresh for updates.
