Boeing Engineers Reject Contract Proposal, Strike Looms Amid Certification Push

A Boeing contract proposal was rejected by its engineers, leading to a looming strike that may impact production and certification of new aircraft models. The proposal, which included linking pay increases to inflation, was turned down by 64% of engineers and 72% of technical workers.

The union has authorized a strike after October 6, when the current contract lapses. Approximately 17,000 employees have voted in favor of striking. Boeing's stock price declined 7.5% over the past week, increasing the distance to analyst targets.

Boeing is currently seeking certification for its 737-10 and 777-9 models. Engineers are involved in all areas of these programs, including design, testing, and production. The company has enacted a backup plan and reallocated funds set aside for early ratification bonuses.