HomeIndustriesBoeing Reaches Tentative Agreement With Striking Workers

Boeing Reaches Tentative Agreement With Striking Workers

More than 30,000 striking workers at airplane maker Boeing could soon get back to work. Boeing and the International Association of Machinists (IAM), which represents the striking workers, announced on Friday that the two sides agreed to a tentative agreement on a new collective contract.

Under the terms of the four-year contract, the workers would get a 38% pay rise, representing an 8% improvement on Boeing’s last offer. Additionally, the airplane maker committed to a $12,000 payment either as a contribution to 401(k) plans or cash payout and increased 401(k) contributions.

The IAM recommended that the striking workers vote in favor of the agreement. The vote is set to take place on Monday.

“It is time for our Members to lock in these gains and confidently declare victory,” the IAM said in a statement. “We believe asking members to stay on strike longer wouldn’t be right as we have achieved so much success.”

Boeing CEO Kelly Ortberg described the strike as “difficult” but expressed optimism about the agreement.

“It’s time we all come back together and focus on rebuilding the business and delivering the world’s best airplanes. There are a lot of people depending on us, “Ortberg stated.

Boeing’s stock jumped on the news, rising by 3.54% on Friday to close at $154.59 per share. The stock remains 38.60% down year-to-date.

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