Boeing workers to go on strike as union rejects labor deal

Investing.comSep 13, 2024 5:46 AM

Investing.com-- More than 30,000 Boeing Co (NYSE:BA) workers will go on strike from Friday after the company’s West Coast factory workers voted to strike over demands for higher pay, presenting more challenges for the planemaker.

The strike is set to commence from midnight, Pacific time (0700 GMT), and is the company’s first major strike since 2008. Reports from local media outlets in Washington showed 96% of workers voted in favor of the strike, with workers stating that the pay and benefits offered by the company in recent negotiations were insubstantial to live on.

The strike represents another major headwind for the planemaker, which is struggling to restore its reputation in the wake of more quality issues with its crafts. Scrutiny of Boeing was rekindled this year after a door panel blew off a 737 MAX jet in January, while a failure in the company’s Starliner spacecraft stranded two astronauts aboard the International Space Station.

Friday's strike represents another major challenge for new Boeing CEO Kelly Ortberg, who was appointed in August to help restore the legacy planemaker's reputation.

Boeing’s last strike, in 2008, had cost the company roughly $1.3 billion in staggered production and higher wages.

Reviewed byTony

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