Boeing Says It Has Made Its ‘Best and Final’ Offer to Striking Workers

Published On Sep 23, 2024, 3:54 PM

Boeing has made a new contract offer to the 33,000 striking employees represented by the International Association of Machinists and Aerospace Workers. The offer includes a raise of 30% over four years, up from a previously rejected 25% increase. Additionally, it includes a one-time payment of $6,000 per worker for accepting the deal and the reinstatement of performance bonuses. However, the union has not yet indicated whether this offer will be satisfactory to its members, as negotiations are currently stalled with no further dates scheduled. The union plans to analyze the offer further before making a decision.

Stock Forecasts

Given the uncertainty around the acceptance of the contract by the union, and the potential for ongoing strikes or delays in production, this could negatively impact Boeing's stock price in the short term. If the union rejects the offer or does not come to an agreement quickly, production delays may lead to further financial stress for the company, particularly in the commercial aviation sector which is crucial for Boeing's recovery post-pandemic.

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An ongoing strike by Boeing's biggest union, the International Association of Machinists and Aerospace Workers (IAM), is proving costly on several fronts for the company.

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