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Boeing is making a new offer to the union in hopes of ending a strike now in its second month

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Boeing is making a new offer to the union in hopes of ending a strike now in its second month
Business

Business

Boeing is making a new offer to the union in hopes of ending a strike now in its second month

2024-10-20 01:06 Last Updated At:01:10

Boeing and the union representing striking machinists have negotiated a new contract proposal that would provide bigger pay raises and bonuses in a bid to end a costly walkout that has crippled production of airplanes for more than a month.

The International Association of Machinists and Aerospace Workers said early Saturday that it plans to hold a ratification vote on Wednesday.

The union said the Boeing offer would increase pay by 35% over four years, up from 30% that the company offered last month. It also boosts the ratification bonus to $7,000 per worker instead of $6,000.

The new offer would not restore a traditional pension plan — a key demand of the 33,000 striking workers — but it would increase the amount of contributions to 401(k) retirement plans that Boeing would match. It would also retain performance bonuses that Boeing wanted to eliminate and make them at least 4% of pay, the union said.

“The fact the company has put forward an improved proposal is a testament to the resolve and dedication of the frontline workers who’ve been on strike — and to the strong support they have received from so many," union district presidents Jon Holden and Brandon Bryant said in a statement.

“We look forward to our employees voting on the negotiated proposal," Boeing said.

The union credited acting Labor Secretary Julie Su for helping produce the new proposal. Su met with company and union officials this week in Seattle in an indication of the Biden administration’s concern about the strike’s impact on the economy.

The union said some details — including when workers would return to their jobs if they approve the deal — will be part of Wednesday's vote.

About 33,000 members of IAM District 751 began a strike on Sept. 13 after more than 94% voted to reject a Boeing offer that was supported by union leadership even though it fell short of the union's goal of a 40% pay raise.

Chastened union leaders declined even to call a membership vote on a Boeing offer in early October.

On Saturday, union officials stopped short of endorsing the new offer, but told members it is “worthy of your consideration.” They said that when the annual pay raises are compounded, they total 39.8%.

Boeing has said that average annual pay for machinists is currently $75,608.

The strike by workers in Washington state, Oregon and California has halted production of Boeing 737s including the 737 Max, and 767s and 777s. Boeing is continuing to build 787 Dreamliners at a nonunion plant in South Carolina.

The strike has led new Boeing CEO Kelly Ortberg to announce about 17,000 layoffs and take early steps toward raising up to $25 billion from new stock or debt to bolster the company's finances.

Boeing suppliers are feeling the pinch, too. Spirit AeroSystems, which builds fuselages and other components for Boeing planes, said Friday that it will put 700 workers on three-week furloughs beginning later this month and will resort to layoffs if the Boeing strike continues past November.

FILE - Unpainted Boeing 737 Max aircraft are seen, Tuesday, Sept. 24, 2024, at the company's facilities in Renton, Wash. (AP Photo/Lindsey Wasson, File)

FILE - Unpainted Boeing 737 Max aircraft are seen, Tuesday, Sept. 24, 2024, at the company's facilities in Renton, Wash. (AP Photo/Lindsey Wasson, File)

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Eberle nets overtime goal to give Kraken 2-1 win over Flames

2024-10-20 13:08 Last Updated At:13:10

SEATTLE (AP) — Jordan Eberle scored 48 seconds into overtime and the Seattle Kraken beat the Calgary Flames 2-1 in overtime on Saturday night.

Eberle, in his first year as the captain of the Kraken, netted his fifth goal in six games to start the season.

The Flames struck first at 19:51 in the first period on Blake Coleman's power-play goal. Seattle tied the game in the second period, also on the power play, on Chandler Stephenson's goal at the 12:25 mark.

Flames: Calgary was the more aggressive side throughout the night. It registered more hits (31) and blocked shots (16) than the Kraken. Ryan Lomberg paced the Flames with five hits and two players had two blocked shots.

Kraken: Many of the 23 shots on goal taken by Seattle were efficient opportunities that weren’t converted. They had several two-on-one chances in the first period, including one by Oliver Bjorkstrand who had a wide open net but whiffed.

Calgary turned up the pressure from the 14:26 mark of the third period to the 16:23 mark with a barrage of shots. Seattle goalkeeper Joey Daccord turned aside each one and froze the puck to keep the game knotted at 1-1. Daccord ended the night with 21 saves. Calgary's Dan Vladar also had 21 saves.

Seattle ended the night just 1 for 6 on the power play, and despite outshooting Calgary 11-6 in the third period, never found the net. Through the first five games of the season, the Kraken are sitting at 14.3% of power play goals, 20th in the league.

Calgary welcomes Pittsburgh while Seattle hosts Colorado both on Tuesday night.

AP NHL: https://apnews.com/hub/nhl

Seattle Kraken goalie Joey Daccord makes a glove save during the third period of an NHL hockey game against the Calgary Flames, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Seattle Kraken goalie Joey Daccord makes a glove save during the third period of an NHL hockey game against the Calgary Flames, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Calgary Flames goalie Dan Vladar makes a save during the third period of an NHL hockey game against the Seattle Kraken, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Calgary Flames goalie Dan Vladar makes a save during the third period of an NHL hockey game against the Seattle Kraken, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

CORRECTS CAPTION TO SECOND PERIOD FROM THIRD PERIOD - Calgary Flames defenseman Jake Bean, left, and Seattle Kraken forward Jordan Eberle battle for the puck during the second period of an NHL hockey game, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

CORRECTS CAPTION TO SECOND PERIOD FROM THIRD PERIOD - Calgary Flames defenseman Jake Bean, left, and Seattle Kraken forward Jordan Eberle battle for the puck during the second period of an NHL hockey game, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Calgary Flames forward Jonathan Huberdeau, left, and Seattle Kraken forward Brandon Tanev battle for the puck during the third period of an NHL hockey game, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Calgary Flames forward Jonathan Huberdeau, left, and Seattle Kraken forward Brandon Tanev battle for the puck during the third period of an NHL hockey game, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Calgary Flames forward Blake Coleman, on ice, battles Seattle Kraken forward Brandon Tanev, left, forward Chandler Stephenson, upper right, and forward Andre Burakovsky for the puck during the third period of an NHL hockey game, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Calgary Flames forward Blake Coleman, on ice, battles Seattle Kraken forward Brandon Tanev, left, forward Chandler Stephenson, upper right, and forward Andre Burakovsky for the puck during the third period of an NHL hockey game, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Calgary Flames forward Andrei Kuzmenko, left, skates against Seattle Kraken defenseman Jamie Oleksiak during the third period of an NHL hockey game, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Calgary Flames forward Andrei Kuzmenko, left, skates against Seattle Kraken defenseman Jamie Oleksiak during the third period of an NHL hockey game, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Seattle Kraken forward Jordan Eberle, right, celebrates with teammates, forward Chandler Stephenson, left, and defenseman Brandon Montour after scoring a goal during overtime of an NHL hockey game against the Calgary Flames, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Seattle Kraken forward Jordan Eberle, right, celebrates with teammates, forward Chandler Stephenson, left, and defenseman Brandon Montour after scoring a goal during overtime of an NHL hockey game against the Calgary Flames, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Seattle Kraken forward Jordan Eberle celebrates after scoring a goal in overtime of an NHL hockey game against the Calgary Flames, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

Seattle Kraken forward Jordan Eberle celebrates after scoring a goal in overtime of an NHL hockey game against the Calgary Flames, Saturday, Oct. 19, 2024, in Seattle. (AP Photo/Stephen Brashear)

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