Boeing’s new chief executive, Kelly Ortberg, recently expressed his intention to reset the company’s relationship with the International Association of Machinists and Aerospace Workers (IAM) as negotiations for a new labor contract are underway. The two local branches of the IAM represent around 33,000 Boeing employees based in the Seattle area, where the company’s factories for the 737 and 777 aircraft are located. The current labor agreement, which has been in place for 16 years, is set to expire soon, prompting discussions on a new contract.
Ortberg emphasized his commitment to resetting the relationship with the union and reaching a new contract that benefits all parties involved. He acknowledged the importance of building a strong future for Boeing’s employees in the region and highlighted that the negotiations were in the final phase. The IAM District 751 negotiating committee expressed optimism about working together to move forward and rebuild trust between the company and its workforce.
The IAM is advocating for Boeing to produce its next aircraft in the Seattle region, as well as seeking a pay raise of at least 40% over the next three years. Additionally, the union is pushing for improved benefits, including enhancements to health insurance and pensions for its members. These demands are reflective of the IAM’s efforts to secure jobs in the region and ensure that employees are fairly compensated for their contributions to the company.
Ortberg, who succeeded Dave Calhoun as Boeing’s CEO, has been proactive in his approach to engaging with employees and stakeholders since assuming his new role. He has taken the initiative to visit Boeing’s manufacturing facilities and meet with key partners in the aviation industry to understand the company’s operations better. Ortberg’s leadership style and commitment to effective communication have been instrumental in navigating the challenging negotiations with the IAM.
As Boeing prepares to finalize a new labor contract with the IAM, the focus remains on fostering a collaborative and mutually beneficial relationship between the company and its workforce. Ortberg’s efforts to reset relations and prioritize the well-being of employees signal a positive step towards achieving a successful agreement. By addressing the union’s concerns and working together towards a common goal, Boeing aims to secure a sustainable future for its workers and maintain its position as a leading aerospace manufacturer.
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