Defense

Agreement ends three-month strike at Boeing defense plants

Five-year contract includes 24% pay rise and $6,000 signing bonus; F-15EX and F/A-18 production to resume
Ricardo Meier

Around 3,200 Boeing Defense workers have voted on Thursday to ratify a new collective agreement, ending a strike that halted production for more than three months at the company’s facilities in Missouri and Illinois.

The five-year contract provides a cumulative 24% wage increase and a $6,000 signing bonus, according to the International Association of Machinists and Aerospace Workers (IAM).

Employees are expected to return to work as early as Sunday, restoring activity on assembly lines for the F-15EX and F/A-18 fighters, as well as weapon systems and the US Navy’s MQ-25 tanker drone.

The walkout, which began after the rejection of four earlier proposals, disrupted deliveries of F-15s to the US Air Force and delayed key programmes within Boeing’s Defense, Space & Security (BDS) division. That business unit accounts for more than one-third of the company’s revenue.

F-15EX (Boeing)

Union representatives said members sought parity with benefits gained by counterparts in Seattle under a previous agreement. Talks centred on wage progression, retirement benefits and incentive payments. Boeing maintained its pay offer but modified its bonus structure, increasing the initial payment to $6,000 while reducing subsequent instalments.

“We are proud of what our members have achieved together and ready to return to the production of the world’s most advanced military aircraft,” the IAM said in a statement. Boeing, in its own statement, added: “We are pleased with the outcome and look forward to bringing the entire team back together.”

Although smaller in scale than last year’s strike by commercial aviation workers, the industrial action added pressure on Boeing as it contends with operational and regulatory challenges, including ongoing scrutiny of its 737 MAX programme. The defence business remains a strategic pillar for the manufacturer as it works to stabilise margins and rebuild financial performance.

About the Author

Ricardo Meier

Ricardo Meier

Creator of the website that started in 1996 as a magazine. He also writes on Brazilian websites AUTOO, MOTOO and MetrôCPTM.

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