RENTON, Wash. — Nearly 50 days into a strike that has crippled the company’s operations, the union representing its machinists and Boeing had a “productive face-to-face” meeting Tuesday, according to the International Association of Machinists District 751.
The union shared an update on social media late Tuesday night, but did not offer any details on where negotiations stand. Last week, machinists voted down a new contract offer from Boeing by 64%.
“Acting Secretary Su returned to Seattle Monday night and will be heading out today. During her trip, she hosted the company and union at a DOL office in Seattle to support continued talks,” a U.S. Department of Labor (DOL) spokesperson told KING 5 on Wednesday morning.
KING 5 spoke with a man, Matt O’Brien, on Tuesday who explained why he is striking for the fifth time against Boeing.
“I think if they bring up our sign-in bonus to ten grand, raise our AMP and raise our VIP for the young kids I think it will pass but they’re not doing that,” O’Brien said. “We’re here for the younger generation to keep it fair.”
On Wednesday, machinist Becky Johnson said she hopes Boeing soon arrives with an ideal best and final offer.
“The pension is a small piece of it but it’s definitely worth fighting for,” she said.
Gary Johnson, a machinist who has spent 28 years with Boeing, said the negotiations need to wrap up, but that the company must produce something substantial to union members.
“I want my pension back,” he said, “I know what security provides in retirement, I would like to build on that and leave this company when I can still walk out of the door.”
Cost of the strike
Thomas Gilbert, a UW professor of finance at the Foster School of Business, said the financial situation at Boeing gets worse by the day.
“Boeing is going to sweeten its offer probably in the form of some increased matching in the form of 401K side and eventually an even bigger salary increase,” Gilbert said.
He said estimates show the company is losing approximately $1 billion per month in terms of losses during the strike.
“There’s only so long this can continue and they can push the negotiations further for a while,” he said. “Boeing cannot offer everything and the situation is dire.”
Boeing, meanwhile, is trying to raise up to $19 billion in a stock offering. Last week, the company reported a third-quarter loss of more than $6 billion. Boeing hasn’t had a profitable year since 2018, and these numbers represented the second-worst quarter in the manufacturer’s history.
KING 5’s Bridget Chavez contributed to this report.