Thousands of Boeing workers strike after rejecting new labor agreement

IAM Midwest Territory General Vice President Sam Cicinelli said, “IAM District 837 members build the aircraft and defense systems that keep our country safe. They deserve nothing less than a contract that keeps their families secure and recognizes their unmatched expertise.”

The IAM negotiating committee had encouraged members to accept the revised deal for its stronger pensions, real wage growth, and improved work-life balance. Despite this recommendation, fewer than 5% of union members voted in favor of it.

Boeing described its offer as “the most competitive contract package it had ever offered” to its St. Louis workforce. Dan Gillian, Senior Site Executive in St. Louis for Boeing, said: “We’re disappointed our employees rejected an offer that featured 40% average wage growth and resolved their primary issue on alternative work schedules. We are prepared for a strike and have fully implemented our contingency plan to ensure our non-striking workforce can continue supporting our customers.”

This marks Boeing’s second major labor disruption in under two years; in 2024 about 33,000 workers at commercial plants in Washington State struck for seven weeks before agreeing to a new contract with a 38% raise over four years—a walkout which stopped production of several models including the Boeing 737 MAX.

Boeing CEO Kelly Ortberg addressed concerns during an earnings call reported by CNN: “The order of magnitude of this is much, much less than what we saw last fall,” he said regarding financial impact compared to last year’s larger commercial unit walkout. “I wouldn’t worry too much about the implications of the strike. We’ll manage our way through that.”

Boeing has faced core operating losses nearing $42 billion since mid-2019 with its Defense, Space & Security unit accounting for nearly $11 billion lost from late 2021 through end-2024—much due to fixed-price Pentagon contracts such as delays with VC-25B Air Force One upgrades.

Production disruptions from this current strike will affect several defense programs including F-15 and F/A-18 fighter jets, T-7A Red Hawk trainer aircraft, MQ-25 Stingray unmanned refueler aircraft, and future F-47 stealth platforms under Pentagon’s Next Generation Air Dominance program.