The White House on Thursday stepped into the ongoing Boeing strike, encouraging the aerospace giant and the union representing approximately 33,000 machinists to continue negotiations for a fair contract. This comes a day after the workers rejected Boeing's latest offer.
President Joe Biden directed his team to promote dialogue between the parties, emphasizing the importance of reaching an agreement that benefits all stakeholders. \"We're going to continue to monitor those negotiations and continue to make sure that we encourage that,\" stated White House press secretary Karine Jean-Pierre.
The International Association of Machinists and Aerospace Workers (IAM) rejected Boeing's recent proposal, which included a 35% wage increase over four years, with 64% of the workers voting against it. This follows a previous offer of a 25% pay hike, which was rejected by 95% of the workforce.
The union is demanding a 40% wage increase and the return of defined-benefit pensions, reflecting ongoing tensions and dissatisfaction among the workers. The strike, which began on September 13, has halted production of Boeing's best-selling 737 MAX and 767 and 777 wide-body programs.
In response to the strike's impact, Boeing has announced plans to cut 17,000 jobs and is seeking to raise up to $15 billion from investors to maintain its investment-grade credit rating. Additionally, the strike has caused delays in aircraft deliveries, forcing some airlines to adjust their schedules.
Julie Su, the Acting Secretary of the Labor Department, has been actively involved in facilitating discussions, including multiple trips to Seattle last week to support the negotiation efforts. A spokesperson for Su stated that she \"is available to support\" Boeing and the IAM in their talks.
Union leaders have expressed their willingness to resume negotiations immediately, aiming to resolve the strike and stabilize Boeing's operations.
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White House urges Boeing, striking union to work to reach deal
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