Boeing engineers and technical workers reject four-year contract offer
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Boeing engineers and technical workers rejected the U.S. planemaker's four-year contract offer, union officials said on Friday. The 17,000 members of the Society of Professional Engineering Employees in Aerospace also voted to authorize a potential strike when the contract expires in October. The rejection could further delay Boeing's certification campaigns for its 737 Max 10 and 777-9 planes.
Key Facts
- The 17,000 members of SPEEA voted to reject Boeing's four-year contract offer and authorized a potential strike when the contract expires in October.
- Boeing's offer included wage increases tied to inflation, capped at 3%, and individual performance metrics.
- The Consumer Price Index for the Seattle area rose 4.5% over the past year, exceeding the 3% cap on inflation-based raises.
- A work stoppage by SPEEA members would further delay Boeing's certification campaigns for its 737 Max 10 and 777-9 planes, both several years behind schedule.
- In 2024, a seven-week strike by 33,000 members of the International Association of Machinists and Aerospace Workers halted Boeing commercial airplane production in the Seattle area.
Contract Rejection
Boeing engineers and technical workers rejected the U.S. planemaker's four-year contract offer, union officials said on Friday. The 17,000 members of the Society of Professional Engineering Employees in Aerospace also overwhelmingly voted to give the negotiating team the power to declare a strike when the contract expires in October. SPEEA is Boeing's largest white-collar union, and its engineers and technicians units negotiate together with Boeing but vote separately. While the negotiating team endorsed the terms, neither of SPEEA's bargaining unit councils backed the offer.
Offer Terms
Boeing's offer included wage increases tied to inflation — capped at 3% — and individual performance, as well as other unspecified metrics determined by the company. Several SPEEA members who voted to reject the offer told Reuters that capping inflation-based raises at 3% would nearly guarantee their salaries fall behind inflation. The Consumer Price Index, an inflation benchmark, rose 4.5% over the past year for the Seattle area, where most SPEEA members work, the U.S. Bureau of Labor Statistics reported in July. Boeing CEO Kelly Ortberg said in July that the company began discussions early to work towards an agreement that supports employees and helps the business stay focused on progress.
Potential Impact
A work stoppage by SPEEA members would further delay Boeing's certification campaigns for its 737 Max 10 and 777-9 planes, both of which are several years behind schedule. In 2024, Boeing commercial airplane production in the Seattle area ground to a halt when the roughly 33,000 members of the International Association of Machinists and Aerospace Workers went on strike for seven weeks. A union spokesperson said its negotiation team plans to survey members to see what it will take to approve a four-year contract with Boeing.
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Boeing engineers and technical workers reject four-year contract offer
