Boeing strike for over a month, U.S. Labor Secretary intervenes in negotiations.

On October 19, 2024, according to reports by Epoch Times, a union representing Boeing workers who are currently on strike said on Friday, October 18, that they are “actively engaged in indirect discussions” with the aircraft manufacturing giant. This development was facilitated by the acting U.S. Secretary of Labor Julie Su.

The International Association of Machinists and Aerospace Workers Local 751, posted on social media on Friday, expressing their full commitment to the negotiations and their responsibility to work towards a solution.

Since September 13, approximately 33,000 union workers of Boeing on the U.S. West Coast, mainly in Washington state, have been on strike. They are demanding a 40% wage increase over four years and the reinstatement of their fixed-income pensions. The strike has resulted in production halts for Boeing’s popular 737 MAX aircraft, as well as the Boeing 767 and 777 wide-body planes.

The announcement of these negotiations on Friday marks the first sign of progress in the month-long strike. Boeing had previously proposed an increment plan of a 30% wage increase over four years. However, negotiations involving a federal mediator eventually broke down, leading Boeing to withdraw the proposal on October 8. The manufacturer subsequently filed a complaint of unfair labor practices with the National Labor Relations Board, accusing the machinist union of not negotiating in good faith.

Boeing declined to comment on the progress announced on Friday.

On Monday, Julie Su appeared in person in Seattle to help Boeing reach a new contract. Following her trip to Detroit on Thursday evening, she returned to Seattle to continue these efforts.

A spokesman for Su stated on Friday that the Secretary “is currently in Seattle engaging with both parties. She has met with the Boeing CEO and the union and has been in touch multiple times throughout the process.”

Last Friday, Boeing announced layoffs of 17,000 employees, accounting for 10% of its global workforce, with a cost of $5 billion. The company has been experiencing turmoil for a year since an emergency safety incident involving a new 737 MAX 9 aircraft from Alaska Airlines in January.

Earlier this week, Boeing announced plans to issue up to $25 billion in stocks and bonds over the next three years, along with securing a $10 billion credit agreement.

In September, nearly 95% of Boeing’s West Coast workers rejected the company’s proposed contract offering a 25% raise over four years, leading to the beginning of the strike.