Pensions are a major sticking point between Boeing and its striking machinists union. Many workers want the company to restore the pension plan they lost a decade ago, but Boeing hasn’t budged.
Striking machinists voted to reject an agreement that would have boosted wages by 35%. It’s another blow for Boeing, which reported a $6 billion quarterly loss on Wednesday.
Boeing reported a staggering loss of $6 billion dollars in the third quarter. The disappointing earnings report comes the same day as striking machinists are voting on a new contract offer.
Striking machinists at Boeing vote Wednesday on a new contract offer. Even before the strike, the company was grappling with production and quality control problems that led to billions in losses.
The latest proposal includes a 35% general wage increase over four years — bringing it closer to the union's original ask for 40%. Boeing previously offered a 25% raise over the life of the contract.
Boeing has been losing money for over five years and is now dealing with a strike that has shut down factories in the Seattle area. The staff cuts will include executives and managers, the CEO said.
Boeing said Monday it made a “best and final offer” to striking machinists, but the workers' union said the proposal isn't good enough and there won't be a ratification vote before Boeing's deadline.
The Federal Aviation Administration is investigating an incident aboard a Delta flight in which a cabin pressurization issue with the Boeing 737 caused some passengers to bleed from the nose and ears.
The deal would have raised wages by 25%, lowered employees’ share of health care costs, and boosted retirement contributions by the company. But many rank and file union members were unhappy.
The union's members still need to vote on Boeing's proposal and decide whether to authorize a strike if the offer is rejected. If that's the case, a walkout could begin as soon as Friday.
The spacecraft landed in New Mexico early Saturday morning leaving two astronauts behind on the International Space Station. The crew members will return to earth in February aboard a SpaceX craft.
An empty Boeing Starliner is scheduled to return from the International Space Station in early September. It will fly home autonomously while its crew remains in space until February.
Boeing's troubled Starliner remains docked at the International Space Station as NASA decides it is too risky to bring the astronauts home on the spacecraft. The two astronauts will return in February.
The National Transportation Safety Board held a two-day hearing on the January "door plug" blowout aboard a Boeing 737 Max 9 plane flown by Alaska Airlines.
The struggling planemaker says Ortberg will take over next week as Dave Calhoun departs. The news came as Boeing reported disappointing second-quarter earnings, with losses of more than $1.4 billion.
