SEATTLE, Sept 14 (Askume) – Union leader John Holden said in an interview with National Public Radio (NPR) on Saturday that the strike at Boeing Co “will probably continue for quite a while” because workers still believe they will get big pay raises.
The International Association of Machinists and Aerospace Workers (IAM), which has more than 30,000 members build Boeing’s best-selling 737 MAX and other jets in Seattle and Portland.The strike took place on Friday after a new contract was rejected by an overwhelming majority.
Boeing and union negotiators will return to the bargaining table next week, with talks overseen by a US federal mediator, after more than 94% of workers voted to reject an initial contract offer backed by Holden.
Holden said his members’ top priorities are raising wages and restoring defined benefit pension plans, and that the IAM failed in its last round of negotiations with Boeing a decade ago.
“We have the greatest influence and the greatest power at the most opportune time in history, and our members are expecting us to use it,” Holden told NPR.
“I know our members are confident. They are standing shoulder to shoulder and they are prepared. So this (strike) could go on for some time.”
The original deal included a 25% wage increase over four years and a commitment from Boeing to build the next commercial aircraft in the Seattle area if the aircraft program was launched during the four-year contract period.
Union members have expressed frustration over years of stagnant wages and rising costs of living and said the elimination of performance bonuses in Boeing’s proposal would wipe out half of the original pay increase.
Boeing shares fell 3.7% on Friday. The nearly 40% decline year-to-date has reduced the company’s market value by about $58 billion.
A prolonged strike could worsen the financial situation of Boeing, which already has a debt burden of $60 billion. A prolonged halt in aircraft production would also put a strain on airlines that operate Boeing planes and suppliers who make their parts.
