Written By Lisa Murimi
Boeing workers have voted to accept a new pay offer from the company, concluding a seven-week strike that caused significant delays and financial losses.
Under the new contract, employees will receive a 38% wage increase over four years, along with a $12,000 bonus and enhancements to retirement plans.
The deal was supported by 59% of the striking workers, represented by the International Association of Machinists and Aerospace Workers (IAM).
The strike, which began on September 13, saw nearly 30,000 workers leave their posts, impacting Boeing’s production and costing the company close to $10 billion, as estimated by the Anderson Economic Group.
Boeing’s CEO, Kelly Ortberg, expressed optimism about moving forward, emphasizing the importance of teamwork in restoring Boeing’s reputation.
In October, Boeing reported a $4 billion loss in its commercial aircraft division, largely attributed to the work stoppage.
Concerns about credit downgrades prompted the company to initiate a $20 billion share sale, and layoffs affecting 17,000 employees are expected later this month.
US Labor Secretary Julie Su previously traveled to Seattle to aid in negotiations, underscoring the strike’s national significance.
Boeing now aims to rebuild stability amid ongoing challenges in its commercial and space sectors.
