Boeing CEO Kelly Ortberg relocated to Seattle, where 33,000 Boeing employees took to the picket line. (Credit: Derrick Louie, Clarity Northwest Photography, Laura Halliday, Realogics Sotheby’s International Realty, KCPQ)
Boeing is proposing new financial measures to striking workers to end the ongoing strike.
Boeing and the company’s union announced a tentative agreement on Saturday. The striking mechanics are scheduled to vote on the agreement on Wednesday.
The International Association of Machinists and Aerospace Workers Local 751 told Reuters the new package includes a 35% wage increase over four years, a new incentive plan and a $7,000 ratification bonus.
The company also offers employees 12% of their 401(k) contributions, plus a one-time contribution of $5,000 to their retirement accounts.
Boeing strike: Which aircraft are affected?
Boeing 737 Max. (Geoffroy van der Hasselt/AFP via Getty Images/Getty Images)
The strike has been going on for five weeks and primarily involves Boeing’s West Coast employees. Since September 13, approximately 33,000 machinists have refused to work on the 737 MAX and its 767 and 777 widebody aircraft.
Boeing said it “looks forward to our employees voting on the negotiated offer,” but striking workers have rejected Boeing’s offers in the past and are not willing to accept a proposal supported by union leaders. However, he refuses.
Boeing plans to raise up to $35 billion to shore up finances as strikes continue
Workers picket outside a Boeing Company facility during a strike on September 16 in Everett, Washington. (M. Scott Brauer/Bloomberg via Getty Images/Getty Images)
In September, just before the strike began, about 95% of West Coast workers rejected Boeing’s contract offer of 25% pay increases over four years. The previous offer also included a $3,000 signing bonus.
Ticker Security Last Change Change % BA THE BOEING CO. 155.00 -0.31 -0.20%
The union said the new deal was made possible with the support of Acting U.S. Labor Secretary Julie Su, who told striking workers it was “deserving of consideration.”
Boeing’s world headquarters in Chicago. (Scott Olson/Getty Images/Getty Images)
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FOX Business has reached out to Boeing for comment.
Reuters contributed to this report.
