Contract vote looms for Boeing workers after improved offer

On Thursday, Boeing's largest white-collar union will vote on whether its members accept an improved contract offer or prepare for a potential strike that could disrupt work on two jetliner projects and delay deliveries. Roughly 17,000 members of the Society of Professional Engineering Employees in Aerospace (SPEEA) are expected to vote.

A second rejection would lead to a walkout starting October 7, the day after their current contracts end. SPEEA members have already authorized a strike in August, which would halt Boeing's certification campaigns for the 737 MAX 10 and 777-9 and hinder its efforts to increase jetliner deliveries, crucial for the airline's financial recovery.

Boeing CEO Dennis Kelly expressed concern over a potential work stoppage, stating that it would financially harm the company. Members of SPEEA's Professional Unit, representing around 13,000 engineers and scientists, and the Technical Unit, composed of about 4,000 designers, analysts, and technicians, overwhelmingly rejected the initial offer in August. The Professional Unit had 64% of its members voting against the offer, while the Technical Unit had 72%. Both units bargain separately but vote together.

The revised offer, presented on September 11, provides a 10% guaranteed raise on ratification and increases annual guaranteed raises to a flat 4%, with an additional 2% possible based on performance. Under the previous offer, guarantees were tied to inflation up to 3%, with an additional 2.5% performance-based increase. Over the four-year contract, members would receive a 32% raise on average, compared to 26.5% under the initial offer.

SPEEA negotiators pushed for larger pay increases, citing that members' wages had lagged behind market trends and inflation.

Unlike the first proposal, both units' union councils advised members to accept the latest offer. However, opposition still exists. Some members who previously voted no are now supporting the new deal, citing it as a "good reset on wages" and providing a basis to negotiate non-economic priorities, such as protecting jobs from moving to non-union regions. Nevertheless, concerns remain about whether the raises will suffice if inflation and fuel prices continue to rise.