Boeing and Union Reach Deal to Avert Strike with Pay Boost

Boeing and its largest union, the International Association of Machinists and Aerospace Workers (IAM), have reached a tentative agreement that could prevent a planned strike at the end of the week. The proposed deal includes a pay increase of at least 25% over the next four years for Boeing's 33,000 production workers, marking the first new contract between the company and the union since 2008.

While the agreement falls short of the union's initial demand for a 40% wage increase, it represents a significant boost for workers. The contract is expected to lead to an average wage increase of 33%, factoring in seniority adjustments. The proposed terms are now subject to a vote by union members, who must approve the deal for it to take effect.

The agreement comes amid a challenging period for Boeing, as the company has faced production slowdowns and quality concerns, particularly with its 737 Max jets. The deal is seen as a critical move to stabilize labor relations and address worker grievances while the company navigates these operational hurdles.