Starting from September 13, 2024, workers at the American Boeing Company began a major strike. Here are some detailed circumstances regarding this strike:
1. Background of the Strike:
- Boeing employees were dissatisfied with the company's proposed salary package. Previously, Boeing offered workers a contract that included a 25% pay raise over four years, but 94.6% of the workers voted to reject the contract, and 96% of the workers voted in favor of the strike, surpassing the two-thirds threshold.
- Workers also harbored discontent with the contract signed in 2014. At that time, Boeing threatened to move the production of the new 777 model aircraft out of the West Coast of the United States, thereby forcing a halt to a traditional pension policy during labor negotiations. In this round of negotiations, the management has been steadfast in not restoring the pension policy.
2. Scale of the Strike: Approximately 33,000 mechanics participated in the strike, primarily at Boeing factories located in areas such as Seattle, Portland, and Southern California.
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3. Impact of the Strike:
- On Boeing Company: The strike led to a near-complete halt in the production of all commercial aircraft for Boeing, dealing a heavy blow to the company's financial situation. According to the third-quarter financial report released by Boeing on October 23, the company suffered a loss of $6.17 billion due to the strike and other factors, with a total loss of nearly $8 billion so far this year. The cash burn in the third quarter reached $1.96 billion, significantly higher than the $310 million in the same period last year.
- On Suppliers: The major strike at Boeing also severely impacted the financial situation of its suppliers. A spokesperson for key supplier Spirit AeroSystems stated that if the strike by Boeing mechanics continues beyond November 25, the company will consider placing hundreds of employees on leave or laying them off.
4. Progress of the Strike:
- Negotiation Breakdown: On October 8, negotiations between Boeing and representatives of the striking workers once again broke down without any progress being made.New Agreement Rejected: On October 23rd, Boeing company workers voted on a new wage agreement, with 64% of the workers voting against it, which means the strike that has been going on for 6 weeks will continue. The new agreement includes a 35% pay raise over 4 years, the restoration of annual production performance bonuses of several thousand dollars per transaction, and a one-time payment of $7,000 for each worker who supports the new agreement.
Reactions from Relevant Parties:
● Boeing Company: Boeing Commercial Airplanes President and CEO Stephanie Pope claimed that the union made "unacceptable demands." Boeing also filed unfair labor practice charges against the union with the National Labor Relations Board on October 10th, accusing union leaders of not negotiating in good faith.
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