SEATTLE, WA—Boeing significantly increased its contract proposal to the Machinists union today. The updated offer, described as the largest ever made to any union by Boeing, was presented via phone and electronically to the Machinists' negotiating team at around 9 a.m., according to Boeing's chief negotiator, Mike Fitzsimmons.
“We believe this offer addresses the concerns of both the union and its members, and we hope for a quick vote,” Fitzsimmons said. The timing of the offer seems intended to prompt a swift resolution. The new offer includes a 30% wage increase over four years, up from the previous 25% proposal, with an immediate 12% raise, followed by 6% increases annually for the next three years.
Additionally, the annual bonus, which had been eliminated in the earlier offer, has been reinstated. This bonus adds an additional pay bump of around 4% each year, further enhancing the overall compensation package.
Peter Johnson, Boeing's vice president in charge of the fabrication unit and a key negotiator, emphasized the urgency of ending the strike. “The sooner we get everyone back working on building airplanes and solving the issues we face, the better off we’ll all be,” he said.
The International Association of Machinists and Aerospace Workers, representing over 33,000 U.S. employees, has yet to comment on the new offer. Boeing emphasized that the proposal is contingent on ratification by 11:59 p.m. PT this Friday.
The strike marks the first major work stoppage by Boeing's machinists since 2008. Workers on the picket lines in Renton, Washington, previously voiced that while the initial contract offered wage increases, it fell short of addressing the rising cost of living in the Seattle area.