Boeing is facing a significant production setback due to a workers’ suit. The members of the Society of Professional Engineering Employees in Aerospace (SPEEA) voted convincingly against a pay deal put forward by Boeing. More than 95% of the workforce balloted against the seven-year contract, with the results instigating an immediate strike action.
This strike action is causing significant disruption to the production schedule, with Boeing management unable to predict how quickly normal service can be resumed. The industrial action comes despite offers of a 3% pay increase every year for the duration of the contract, with Boeing stating this deal placed employees in the top 25% of earners nationally.
However, Union staff argued that the increase failed to keep pace with inflation, and the removal of certain benefits would see most staff taking home less in real terms. The seven-year length of the proposed contract was also a significant bone of contention, with union officials stating employees should be able to renegotiate contracts at a more frequent interval to ensure pay keeps pace with inflation and other economic indicators.
Additionally, Boeing workforce accused the company of failing to consider the health and safety of its employees sufficiently. They claim that the contractual obligation to work more extended hours combined with a reduction of break periods would potentially lead to burnouts, impacting productivity and workers’ happiness.
The company is bracing itself for the workforce seizing production and even catch-up work is unlikely to make up for the lost time caused by the strike action. It appears that only by returning to the negotiation table and examining further staff’s terms and conditions can this strike and the damage caused be resolved soon. This outcome may see the company being forced to review their wage and safety policies moving forward.
