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Contract rejected: Boeing faces defense worker strike threat

Contract rejected: Boeing faces defense worker strike threat

Canada News.Net5 days ago
ST. LOUIS, Missouri: Boeing is bracing for a strike at its defense manufacturing hub in the St. Louis area after unionized workers voted down a proposed labor contract. The rejection, described as "overwhelming" by the union, puts production of key military aircraft at risk, including the U.S. Air Force's new F-47 fighter jet.
On July 22, more than 3,200 members of the International Association of Machinists and Aerospace Workers (IAM) District 837 were presented with the offer. The proposal included a 20 percent general wage increase over four years, a US$5,000 ratification bonus, and expanded vacation and sick leave benefits.
However, union leaders said the offer failed to adequately reflect the contributions and sacrifices of the skilled workforce. "The proposal from Boeing Defense fell short of addressing the priorities and sacrifices of the skilled IAM Union workforce," the union said in a statement.
Boeing expressed disappointment at the outcome. "We are disappointed Boeing employees voted down the richest contract offer we've ever presented to IAM 837, which addressed all their stated priorities," said Dan Gillian, vice president and general manager of Boeing's Air Dominance division, and senior executive at the St. Louis site.
Gillian added that the company has activated its contingency plan and is preparing for a possible strike. No additional negotiations are currently scheduled between Boeing and the union.
The current contract expires on Sunday. After that, a seven-day cooling-off period will begin, meaning a strike could begin as early as the following weekend.
Boeing's defense operations in the St. Louis region are expanding, particularly to support the production of the F-47 fighter jet. The company secured the contract for the aircraft earlier this year as part of the U.S. Air Force's broader modernization plans.
The F-47 is part of the Next Generation Air Dominance (NGAD) program, a cutting-edge initiative to replace the aging F-22 Raptor fleet. Designed as a "family of systems" centered on a sixth-generation fighter jet, NGAD represents the future of air combat capabilities for the U.S. military.
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Do Not Open Japan-US Trade Deal to Distorted Interpretation
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Do Not Open Japan-US Trade Deal to Distorted Interpretation

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