Boeing Engineers Approve Labor Deal, Averting Potential Strike

Boeing's BA engineers have approved a new four-year labor agreement, eliminating the threat of an October strike that could have disrupted aircraft production and certification work. The Society of Professional Engineering Employees in Aerospace (SPEEA) represents about 17,000 Boeing employees and both of its bargaining units ratified the agreement.

About 68% of engineers and scientists in SPEEA's professional unit supported the contract, while just over 53% of designers, analysts, and technicians in the technical unit voted in favor. The new contract provides a guaranteed 10% wage increase upon ratification, followed by annual raises of 4%, with potential additional increases tied to performance.

The agreement removes another operational headache for Boeing as it works to increase aircraft production and advance certification of the delayed 737 Max 10 and 777X. A strike could have interfered with these programs while slowing deliveries, which are critical to Boeing's efforts to improve cash flow.