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Boeing Withdraws Pay Offer as Strikes Continue
Boeing (NYSE: BA) has withdrawn its pay offer to approximately 33,000 factory workers on strike across the U.S. West Coast, with no further negotiations planned, according to a company announcement on Tuesday.
The aerospace giant's Commercial Airplanes head, Stephanie Pope, expressed disappointment in the union's response, stating, "Unfortunately, the union did not seriously consider our proposals," labeling the demands as "non-negotiable."
Union Demands and Boeing’s Final Offer
The workers, represented by the International Association of Machinists and Aerospace Workers (IAM), are demanding a 40% pay increase over four years and the reinstatement of a defined-benefit pension, which was removed from contracts a decade ago. Boeing’s latest proposal, offered last month and described as its "best and final," included a 30% raise and the restoration of performance bonuses. However, the union deemed this insufficient, as indicated by a membership survey.
Stalemate in Negotiations
In a statement, the IAM criticized Boeing for its refusal to consider key union demands, including wage increases, vacation accrual, and pension reinstatement. "Boeing is hell-bent on standing by its non-negotiated offer," the union declared, reinforcing the current impasse.
With both parties at a standstill, the future of negotiations remains uncertain as strikes continue, affecting production across Boeing’s U.S. West Coast facilities.
