Boeing Defense Union Nears Vote on Contract, Strike Risk Looms

Boeing is currently negotiating with the International Association of Machinists and Aerospace Workers Local 837, representing about 3,200 defense workers in the St. Louis area, over a revised labor contract that includes a 20% wage increase, a $5,000 ratification bonus conditional on timely approval, improved 401(k) benefits, and retention of overtime policies. The union previously rejected an earlier offer, expressing that it was insufficient despite Boeing calling it the richest contract ever proposed to IAM 837. The modified contract also includes enhanced pension multipliers and pay additives for senior employees, but if rejected in the upcoming vote, a strike could commence as early as August 4, potentially disrupting production of key military aircraft and drones like the F-15 and MQ-25. Boeing has emphasized its commitment to managing labor relations effectively and maintaining a stable workforce amid these negotiations. The union vote is scheduled to take place following a federally mandated cooling-off period, and the outcome will significantly impact Boeing's defense manufacturing operations in the region. This labor dispute highlights the strategic importance of the St. Louis workforce to Boeing's defense contracts and the broader implications for U.S. military readiness.