Boeing employees opt for initial work stoppage since 2008.
American aerospace giant, Boeing, is experiencing its first strike in 16 years. As per union sources, production of the popular 737 MAX and other planes in facilities across Seattle and Portland is scheduled to halt at midnight on Friday (local time). Over 30,000 workers on the West Coast of the United States voted in favor of the strike by Thursday, rejecting Boeing's earlier proposal.
Boeing had offered a 25% salary hike on Sunday to prevent the strike, with the increase and additional benefits like 12 weeks of parental leave lasting for four years. The International Association of Machinists and Aerospace Workers (IAM) urged its members to approve the offer, but many employees responded angrily, calling for the initial 40% salary increase.
This escalates the tense atmosphere at Boeing's competitor, Airbus. In the beginning of the year, a section of the cabin wall on a Boeing 737 MAX-9 operated by Alaska Airlines with 171 passengers on board came loose during flight. The defense sector is also facing challenges, with the division reporting losses of billions over the past two years. Boeing is also dealing with persistent delivery delays and a hefty debt load.
Despite Boeing's last-minute attempt to prevent the strike by offering a 25% salary hike and enhanced benefits, the proposal was met with frustration, leading some employees to demand an initial 40% increment. Consequently, the pending strike, affecting thousands of workers, is set to disrupt the production of Boeing's 737 MAX and other aircraft in Seattle and Portland.
