Boeing Workers Call Off Strike, Ratify Contract That Includes $8,000 Cash Bonus and 7.2% Raise

A major strike was averted after Boeing workers said yes to a new contact.

ABC News reports:

“Nearly 2,500 Boeing workers at three St. Louis-area facilities on Wednesday accepted a contract offer from the plane manufacturer after calling off a strike planned for earlier this week.

In recent weeks, a dispute over the three-year contract centered on retirement compensation. Workers last Sunday rejected an offer that fell short of their demands on that issue, said Jody Bennett of the International Association of Machinists and Aerospace Workers (IAMAW).

The new contract provides workers with an $8,000 cash bonus, which would be subject to tax withholdings. Alternatively, under the terms of the proposed contract, workers can opt to place the total amount in a 401(k) account, Boeing said.

Under the proposal, the company will automatically put an amount equivalent to 4% of a worker’s pay into the 401(k) each year, the company and Bennett said.

But the new proposal removes the company’s 401(k) match, which featured a dollar-for-dollar company match on 10% of a worker’s pay, the union said. Instead, the company will match 75% on the first 8% of employee contributions . . .

The contract includes a $2 per hour increase in the base wage for all employees, which equates to an average 7.2% wage hike, Boeing said. Workers at the three St. Louis-area locations make an average of $29.42 per hour, the union said.”

For the rest of the story, visit ABC News here.

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