Striking workers at Boeing Defense in the St. Louis area have rejected the company’s latest contract proposal, extending a strike that has already lasted 13 weeks and delayed deliveries of F-15EX fighter jets and other military programs. The International Association of Machinists and Aerospace Workers (IAM) District 837 represents roughly 3,200 employees affected by the ongoing labor dispute.
In a statement following the vote, IAM International President Brian Bryant criticized Boeing’s management for failing to address workers’ core demands. “Boeing’s corporate executives continue to insult the very people who build the world’s most advanced military aircraft,” Bryant said. Boeing responded by expressing disappointment with the vote and emphasizing plans to execute the next phase of its contingency plan.
The company’s five-year proposal, largely unchanged from previous offers rejected by union members, included a reduced ratification bonus, $3,000 in Boeing shares vesting over three years, a $1,000 retention bonus in four years, and improved wage growth for employees at the top of the pay scale in the fourth year. Boeing Vice President Dan Gillian noted that funding these increases required trade-offs, such as reduced hourly wage increases tied to attendance and certain shift work.
Union leaders have sought higher retirement contributions and a ratification bonus closer to the $12,000 awarded to striking union members in Boeing’s commercial airplane division last year. IAM estimates that its proposed four-year contract would cost an additional $50 million compared to Boeing’s offer. Meanwhile, Boeing CEO Kelly Ortberg is set to earn $22 million in 2025.
Union officials have filed an unfair labor practice charge with the National Labor Relations Board, accusing Boeing of bargaining in bad faith. Workers are relying on $300-a-week strike benefits, second jobs, and budget adjustments, while company-provided health insurance ended on August 30.
Despite mitigation plans, the strike has delayed deliveries of F-15EX fighters to the U.S. Air Force, according to General Kenneth Wilsbach, who submitted comments to the Senate Armed Services Committee in October. Boeing is also expected to report another unprofitable quarter, with a multi-billion-dollar charge anticipated for its delayed 777X program.
