IAM Union Members To Vote On Boeing's New Proposal, Including 35% Pay Hike, On October 23

(RTTNews) - Striking IAM union members will vote on whether to accept Boeing's (BA) new proposal on Wednesday, October 23, which includes a 35% pay hike over four years. Details of the potential strike settlement, including the date on which workers would return to work if the vote passes, will be included in the voting process, the International Association of Machinists and Aerospace Workers Local 751 said in a statement on Saturday.

The latest offer includes a $7,000 ratification bonus, a reinstated incentive plan, and enhanced contributions to workers' 401(k) retirement plans, featuring a one-time $5,000 contribution along with up to 12% in employer contributions. However, the offer does not restore the traditional pension plan that was removed from union members a decade ago.

More than 33,000 members of the IAM at Boeing locations in Washington state, Oregon, and California have been on strike since September 13.

The IAM union stated in a social media post on Saturday that, "With the help of Acting U.S. Secretary of Labor Julie Su, we have received a negotiated proposal and resolution to end the strike, which warrants presentation to the members and is worthy of your consideration."

Earlier this month, Boeing announced plans to lay off approximately 10% of its workforce, or about 17,000 employees, amid ongoing financial losses and production delays caused by the strike involving union machinists. The company anticipates a significant loss in the third quarter due to the IAM work stoppage and charges in its commercial airplanes and defence segments.

Boeing withdrew its pay offer to the approximately 33,000 members of the International Association of Machinists and Aerospace Workers (IAM), stating that the union had not taken its proposals seriously after two days of talks.

Last month, Boeing announced what it called its 'best and final' offer to workers, proposing a 30% wage increase over four years—lower than the 40% demanded by the union.