Boeing workers to strike as 25% pay rise rejected

Published On Sep 13, 2024, 12:31 AM

Boeing workers have gone on strike after rejecting a pay deal that included a 25% pay increase. Almost 95% of those who voted opposed the agreement, leading to over 30,000 workers in Seattle and Portland halting production, particularly of the 737 aircraft. The strike poses significant challenges for Boeing, particularly for new CEO Kelly Ortberg, as it jeopardizes the company’s ongoing recovery efforts amidst ongoing safety issues and financial losses. The length of the strike will significantly affect Boeing's operations and potential losses could reach billions, particularly as it risks a credit rating downgrade due to Moody's warnings about the financial impact of the labor dispute.