Union officials announced on Tuesday that Boeing Defense (BA.N), which has opened a new tab, has put contract negotiations with the striking machinists union on hold and has no intentions to resume until at least after the Labor Day holiday. The previous day was the first time since the strike started on August 4 that talks between the two had begun.
Approximately 3,200 members of District 837 of the International Association of Machinists and Aerospace Workers (IAM) went on strike at Boeing Defense’s plants in the St. Louis area after they turned down the company’s offer of a four-year contract. The F-15 and F/A-18 fighters, the T-7 trainer plane, missiles, and wing pieces for Boeing’s commercial 777X jet are all assembled by them.
Using non-union labor, the business has so far been able to continue production, flight testing, and other tasks, according to Boeing Defense spokesperson Didi VanNierop.
Dan Gillian, the top executive at Boeing in St. Louis, defended the offer that IAM District 837 members rejected last week, stating, “With an average income gain of 40%, our offer was excellent then and is strong now.
When 33,000 machinists at Boeing’s commercial plane division went on strike for seven weeks last fall, Boeing CEO Kelly Ortberg told Wall Street investors in July that the business would be significantly less affected than if St. Louis workers went on strike.
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