Boeing CEO warns strike could stall recovery as tensions escalate
Boeing newly appointed CEO, Kelly Ortberg, has issued a warning to the company's largest union, the International Association of Machinists and Aerospace Workers (IAM) District 751. He cautioned that a potential strike could derail efforts to revive the aircraft manufacturer's operations after years of instability. The warning was directed at all Boeing employees in Washington and Oregon.
Union members to vote on Boeing's proposal
The 33,000 members of IAM District 751 are set to vote today on Boeing's proposal. The decision will also determine whether they will strike when their current contract expires at midnight. A potential strike could halt operations at Boeing factories across the Pacific Northwest, including the final assembly lines for its 737 Max aircraft.
Workers express discontent over Boeing's offer
Tensions are escalating at Boeing factories in the region, with workers expressing their dissatisfaction through marches and sounding air horns and whistles. The unrest is a response to an offer from Boeing that promises a 25% wage increase over four years but also eliminates an annual bonus. The noise at the Renton 737 plant was so intense that some non-union members, including a large group of engineers, were sent home to work remotely on Wednesday afternoon.
Ortberg acknowledges Boeing's past mistakes
Ortberg, who assumed the role of CEO in August, is facing this labor dispute as a significant challenge. He acknowledged the "passionate" response by IAM members and admitted that Boeing's current difficulties are "in part due to our own mistakes in the past." He emphasized the importance of unity in overcoming these challenges but warned that a strike could jeopardize their collective recovery.
