St. Louis-area machinists on Sunday voted 51% to 49% against a modified contract after striking for three months over what the union said have been “insulting” proposals from Boeing.
The vote marked the fourth time the union has struck down company proposals. A vote was also held in mid-September for a union-proposed contract that passed 90%-10%, but the company refused that deal.
The union has voted five times on proposal variations, including its own proposal, since contract negotiations began this summer.
Members on Sunday rejected the company’s latest offer, which added a 1.5% general wage increase and a 2.5% lump sum in year four for top-paid employees.
It also included $3,000 of restricted stock units but cut down on attendance additives. Union representatives said the contract also removed language that allowed managers and nonunion workers to perform bargaining unit work.
In a statement, International Association of Machinists and Aerospace Workers President Brian Bryant said the result of Sunday's vote proves Boeing is not listening to their employees as they've claimed.
“Boeing’s corporate executives continue to insult the very people who build the world’s most advanced military aircraft — the same planes and military systems that keep our service members and nation safe,” Bryant said. “Our members aren’t going to be fooled by PR spin. It’s well past time for Boeing to stop cheaping out on the workers who make its success possible and bargain a fair deal that respects their skill and sacrifice.”
Boeing officials said they’re disappointed with Sunday’s results.
“The union’s statement is misleading since the vote failed by the slimmest of margins, 51% to 49%,” the company said in a statement. “With the close result and the increased interest we’re hearing from teammates who want to cross the picket line, it’s clear many understand the value of our offer. We are turning our focus to executing the next phase of our contingency plan in support of our customers.”
The International Association of Machinists and Aerospace Workers District 837 and the company most recently resumed negotiations on Oct. 20 after the union filed an unfair labor practice complaint, alleging the company was refusing to bargain in good faith. Boeing denied that claim.
The company last week presented union leadership with a modified version of its previous five-year contract that members voted down in September.
The union initially refused to bring that proposal before members for a vote but changed course on Thursday after further discussions.
“We’ve said it many times, and we’ll say it again: We will not vote on an insulting offer,” the union’s bargaining committee had said on Wednesday.
Boeing in St. Louis largely focuses on the company’s defense arm, including a recent government contract to build the Air Force’s next-generation fighter jet, the F-47. About 3,200 unionized members work in facilities in St. Louis, St. Charles and Mascoutah.
Boeing St. Louis Vice President of Air Dominance Dan Gillian said in a letter to employees last week that if the latest proposal passed, they would have been back to work by Nov. 3.
“To fund the increases in this offer, we had to make trade-offs by reducing the amount of the annual attendance progression and additive by $0.25 per hour,” Gillian’s statement reads. “We were also able to address concerns raised by the union in the strike settlement agreement.”
In addition to the general wage increase and a lump sum in year four to top-paid employees, the contract divided the $4,000 ratification bonus into $3,000 in year one and $1,000 in year four.
