Boeing Union Votes on Revised Contract Offer Amid Strike Threat
Boeing's largest white-collar union is set to decide on Thursday whether its members will accept a revised contract offer or move closer to a strike that could stall work on two long-delayed jetliners and slow down jet deliveries. The Society of Professional Engineering Employees in Aerospace (SPEEA) has roughly 17,000 members who will vote on the latest proposal.
The union's members already authorized a strike in August, which would start on October 7 if they reject the offer. This would abruptly halt Boeing's certification campaigns for the 737 MAX 10 and 777-9, as well as disrupt its efforts to boost jetliner deliveries. Both of these projects are critical to Boeing's financial recovery from recent crises.
Boeing CEO Kelly Ortberg has expressed concerns about a strike, stating that it would financially hurt the company. Members of SPEEA's two units overwhelmingly rejected the first offer in August, with 64% of the Professional Unit and 72% of the Technical Unit voting no.
The revised offer includes a 10% guaranteed raise on ratification and lifts annual guaranteed raises to a flat 4%, plus 2% performance increases possible. This would result in an average raise of 32% over the four-year contract, compared to 26.5% under the first offer.