USA Strike paralyzes large parts of Boeing's aircraft production

The first strike since 2008 has brought large parts of US manufacturer Boeing's aircraft production to a standstill. The strike began on Friday night.

This came after union members at the Boeing plants in the Seattle region voted by a large majority in favor of industrial action. They rejected the employer's previously negotiated offer of a 25 percent wage increase with 94.6 percent of the vote, and 96 percent of union members voted in favor of the strike.

From Friday morning, the industrial action brought the two large assembly plants in Renton and Everett, where the 737 MAX, 777 and 767 (freighter and tanker versions) models are manufactured, to a standstill. Production at other sites, including a spare parts factory in nearby Portland, was also halted, as was the reworking of dozens of 787 Dreamliners in Everett. Dreamliner assembly, however, was not initially disrupted because the South Carolina plant is not covered by the labor agreement.

The last strike at Boeing in 2008 lasted 57 days. Since then, the collective agreement that expired on Thursday has also been in force and the company management and the IAM union have been battling for months over its successor. The workforce's demands to make up for the losses of recent years are high: 40 percent more money, the reintroduction of pension schemes.

A few days ago, an agreement was reached on a 25 percent wage increase spread over four years. Boeing also promised high levels of investment in the region: a new aircraft model is to be built in Seattle and the surrounding area, which would secure jobs for years to come. The union recommended that the agreement be accepted.

However, resentment and criticism of the agreement quickly emerged; for many, what had been achieved did not go far enough. In addition, the frustration over millions in compensation for former Boeing bosses Dennis Muilenburg and Dave Calhoun runs deep. On Thursday, the 33,000 employees represented by IAM were called to vote on the agreement and at the same time on industrial action. Boeing employs a total of 170,000 people.

Their members had expressed themselves "loud and clear", said IAM district chairman Jon Holden afterwards. He had initially regarded the agreement reached as the best that could have been achieved without strikes. However, the "real power" in the union lies with the employees. According to analysts, a strike of 50 days, for example, could cost Boeing up to 3.5 billion dollars.

Despite the strike, Boeing remained willing to negotiate. "We remain committed to rebuilding our relationship with our employees and the union," it said in a statement. Boeing was ready to "return to the negotiating table to reach a new agreement".

In the run-up to the vote, the company had emphasized that it had "given its all". The new Boeing CEO Kelly Ortberg warned that a strike could jeopardize the recovery of the company, which is currently "going through a difficult time".

Boeing has recently been in the red and is 60 billion dollars (51 billion Swiss francs) in debt. The management is also under pressure due to a series of technical problems. There have also been reports from whistleblowers about shortcomings in production and quality control.

SDA