The machinist strike continues at Boeing. The American aeronautical group announced, on Tuesday, October 8, the withdrawal of the offer made to the IAM union (International Association of Machinists), which it accuses of having presented unreasonable demands, and the suspension of discussions aimed at putting an end to this movement. which has paralyzed its two main factories since mid-September.
Boeing made this decision, made official by an internal communication consulted by Agence France-Presse, after a two-day third round of negotiations, which ended on Tuesday.
The IAM union has declared a strike since September 13, affecting 33,000 members in the Seattle region, home of Boeing. The group’s two main factories in Renton (which produces the 737, its best-selling plane) and Everett (which produces the 777 and is home to several military programs) are among the sites completely closed.
A survey to define the “priorities” of the negotiation
In the internal letter, Boeing’s head of commercial aviation, Stephanie Pope, states that the aircraft manufacturer’s management presented new proposals, improved over the previous version, during this third round of discussions. The group has significantly increased net salary and retirement pensions, according to the manager.
“Unfortunately the union did not take these proposals seriously”preferring, according to her, to make requests “non-negotiable elements that far exceed the limits of what is acceptable if we want to remain competitive”. “Therefore, continuing negotiations would not make sense at this time and we have withdrawn our offer.”concluded Stephanie Pope. However, Boeing says it is ready for new talks once the IAM is ready. “discuss an agreement that is respectful of our employees and preserves the future of our company”.
“We will win our case”The IAM reacted in a press release published on its site, stating that Boeing had refused “offer everything [nouvelle] salary increase »career progression measures or contributions to the employees’ pension fund.
The union plans to carry out a survey of its members next week to define “priorities” of this negotiation. “We are united collectively”launched the IAM, “United and ready to take on the challenge against one of the most powerful companies in the world. » The union, despite everything, declared “Ready to continue with direct exchanges or through a mediator”.
Measures taken to preserve cash flow during the strike
Two rounds of negotiations have already been held (September 17 and 18, then September 27) in the presence of federal mediators to try to reach a new four-year social agreement. A draft agreement was rejected on September 12 (the expiration date of the previous agreement) by nearly 95% of the members of IAM-District 751, the local branch of the union. They were not satisfied with the proposals, particularly in terms of salary increase (+25% instead of the +40% requested) and retirement. 96% voted in favor of the strike.
On September 23, excluding mediation, Boeing submitted an offer described as “better” AND “end”providing in particular for a 30% salary increase. He was rejected by the union leadership.
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The manufacturer, which is going through a difficult period due to production quality issues, has taken steps to preserve its cash flow during the strike. In particular, it resorted to technical strike, which affects tens of thousands of the group’s employees.
Financial ratings agency Standard and Poor’s announced Tuesday that it had placed Boeing’s ratings on negative watch due to the strike, meaning the U.S. planemaker could fall into the category of speculative borrowers.
Several American media outlets claimed that the manufacturer was considering a capital increase of at least ten billion dollars (approximately €9.1 billion) to raise new money.
listen too The fall of Boeing