IAM and Boeing talks reach apparent impasse on strike’s 15th day

Discussions between the IAM Union District 751 and Boeing appear to have reached an impasse on the subject of pensions, with recently-restarted talks broken off “with no further dates scheduled at this time”.

boeing-737-max-engines_750xx632-356-0-27

As the ongoing Boeing machinists strike reached its 15th consecutive day (on Friday 27 September), “today, your Union Bargaining Committee went back to mediated talks with Boeing,” stated the international Association of Machinists and Aerospace Workers (IAM) Union District 751 in a social media update. However, despite describing the conversations as “direct,” the union “did not make progress on the pension plan”. “[Boeing] remains adamant that it will not unfreeze the defined benefit plan,” stated the IAM, which has not offered its members a vote on Boeing’s most recent offer.

Over 33,000 union members are currently on strike, with the so-called ‘traditional’ pension plan lost ten years ago – replaced by the 401k individual ‘defined contribution’ retirement plan – a key objective many wish to see addressed. Industry commentators believe it is unlikely the original pension scheme will be restored, with CNN reporting that “no American union has ever succeeded in bringing them back”.

Describing its part in the proceedings as participating in “frank discussions about the needs of [its] members and the expected outcomes they are striving for,” the union concluded that Boeing “would also not engage substantively about other issues that membership has made clear remain top priorities, like higher pay, quicker wage progression, and more PTO”. These talks were conducted with the support of Federal Mediation and Conciliation Services (FMCS).

On Monday, Boeing released what it termed its “best and final” offer, including a pay rise of 30% over four years – although short of the union members’ original expectation of 40% over three years. At the time, IAM said the offer had been “thrown at us without any discussion”, although Boeing stressed it has “bargained in good faith with the IAM since formal negotiations began in March.”

Speaking on social media, several striking workers have expressed their dismay. “I cannot believe you guys [IAM] are not letting us vote on the new offer… you’re crazy for thinking the pension is coming back… this strike could have ended this weekend!” wrote one anonymous individual. “The potential for higher long term growth with Boeing’s 401k is a better option,” wrote another.

Last week, IAM stated that “Boeing does not get to decide when or if you vote. Boeing has mislead the media by wrongfully stating that Union membership is required to vote on their latest offer”.

Speaking in a social media update on day 15 of the strike, union member Ben Cruz explained: “So far, this strike has cost me $3,332 while the company has lost over $1.5bn dollars. Who can hold out longer?”

Sign up for our newsletter and get our latest content in your inbox.

More from