Boeing machinists end strike after approving labor contract with 38% wage increases
Boeing machinists approved a new labor deal Monday, ending a more than seven-week strike that halted most of the aircraft production at the company that was already struggling with mounting losses.
The approval is a relief for Boeing's new CEO Kelly Ortberg, who took the top job in August to steer the company through its safety and manufacturing crises. The company raised more than $20 billion in a share sale last week to weather its financial problems after warning it will likely burn cash through 2025.
Boeing will now be able to resume prodution, key to its recovery since the bulk of the aircraft price is paid when they are handed over to customers.
"While the past few months have been difficult for all of us, we are all part of the same team. We will only move forward by listening and working together," Ortberg said after the contract passed. "There is much work ahead to return to the excellence that made Boeing an iconic company."
President Joe Biden congratulated the union and the company — one of the country's top exporters — on reaching the deal. Acting Labor Secretary Julie Su had gotten involved with the negotiations, meeting with both sides.
