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Boeing white-collar union vote results expected Friday

Created at 21 Aug · 3:20 PM1 source↑ Market-relevant
IN SHORT

Members of Boeing's largest white-collar union, SPEEA, are set to vote on a contract offer, with results expected Friday afternoon. The union's bargaining unit councils have not backed the offer, with one recommending rejection.

Key Numbers

3%inflation-based raise cap
seven weeksMachinists union strike duration in 2024
33,000Machinists union members

Who's Involved

Boeing
aerospace company negotiating contract
SPEEA
Society of Professional Engineering Employees in Aerospace, union representing white-collar workers
Kelly Ortberg
Boeing CEO
Dan Catchpole
Reuters reporter
Philippa Fletcher
Reuters editor
Boeing white-collar union vote results expected Friday

↳ Why This Matters

A potential strike by SPEEA members could disrupt Boeing's production timelines and further delay crucial aircraft certifications, impacting the company's financial performance and its ability to meet delivery commitments.

Key facts

  • Voting on Boeing's contract offer to its largest white-collar union, SPEEA, concludes Friday.
  • Results of the vote are expected by mid-afternoon Seattle time.
  • Boeing's offer includes wage increases tied to inflation (capped at 3%) and performance.
  • SPEEA's technicians unit council recommended rejecting the offer.
  • SPEEA's engineers unit council did not provide a recommendation to accept or reject.
  • A work stoppage by SPEEA members could further delay Boeing's 737 Max 10 and 777-9 certification campaigns.

Voting on a contract offer for Boeing's largest white-collar union, the Society of Professional Engineering Employees in Aerospace (SPEEA), concludes on Friday, with results anticipated by mid-afternoon in Seattle. The offer, reached in late July, aims to prevent a strike by thousands of engineers and technical workers.

Despite the tentative agreement being endorsed by SPEEA's negotiating team, neither the engineers' nor the technicians' bargaining unit councils have backed the offer. The technicians' council recommended rejection, while the engineers' council did not achieve the necessary 60% threshold to make a recommendation. The current contract is set to expire in October.

Boeing CEO Kelly Ortberg stated in July that the company initiated discussions early to reach an agreement that supports employees and business progress. However, several SPEEA members expressed concerns that the proposed contract's inflation-based wage increases, capped at 3%, would not keep pace with rising costs.

A work stoppage by SPEEA members could further delay Boeing's certification processes for the 737 Max 10 and 777-9 aircraft, both of which are already behind schedule. This follows a seven-week strike by the International Association of Machinists and Aerospace Workers earlier in 2024.

Frequently asked questions

SPEEA stands for the Society of Professional Engineering Employees in Aerospace. It is the largest union representing white-collar workers, including engineers and technical staff, at Boeing.

The proposed four-year contract includes wage increases tied to inflation, capped at 3%, and increases based on individual performance and other company-determined metrics.

Some members believe that capping inflation-based raises at 3% will not adequately compensate for the rising cost of living, potentially causing their salaries to fall behind inflation.

A strike could further delay Boeing's certification campaigns for the 737 Max 10 and 777-9 aircraft, which are already behind schedule.

What Happens Next

01Results of the SPEEA contract vote are expected Friday afternoon.

How It Developed

Boeing reached a tentative agreement with SPEEA in late July.
SPEEA's technicians unit council recommended rejecting the offer.
SPEEA's engineers unit council did not meet the threshold for a recommendation.
Voting on the contract offer concludes Friday, with results expected mid-afternoon Seattle time.

Sources

T1
Boeing white-collar union contract vote results expected todayReuters

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