Boeing workers have voted to accept a new pay offer, ending a seven-week strike that led to significant delays and financial losses for the company.
The new contract grants employees a 38% wage increase over four years, a $12,000 bonus, and improved retirement benefits. The agreement was approved by 59% of the striking workers, who are represented by the International Association of Machinists and Aerospace Workers (IAM).
Beginning on September 13, the strike involved nearly 30,000 workers, disrupting Boeing’s production and reportedly costing the company around $10 billion, according to estimates from the Anderson Economic Group. Boeing CEO Kelly Ortberg expressed optimism about moving forward, stressing the role of teamwork in restoring Boeing’s reputation.
In October, Boeing reported a $4 billion loss in its commercial aircraft division, largely due to the work stoppage. Concerns over potential credit downgrades led Boeing to launch a $20 billion share sale, with 17,000 layoffs anticipated later this month.
U.S. Labor Secretary Julie Su previously visited Seattle to support the negotiations, highlighting the strike’s national importance. Boeing now aims to regain stability amid ongoing challenges in its commercial and space divisions.
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