In order to resolve the strike that has been ongoing for over a week, Boeing has made concessions to the workers, with the latest proposed wage increase exceeding the previous scheme and putting pressure on the union, stating that this is the "best and final" version of the proposal.

On Monday, September 23rd, Boeing announced a revised proposal for wage increases, proposing a 30% salary increase over the next four years, higher than the previous proposal rejected by the union at 25%. The new proposal also doubles the approved bonus amount to $6,000 and retains annual productivity bonuses.

Boeing stated that the terms announced on Monday are final and will only be valid until this Friday, September 27, viewed as Boeing's attempt to pressure the union to accept the new proposal as an "ultimatum".

Some media outlets pointed out that Boeing's latest proposal highlights the company's urgency in resolving the recent strike. The new strike began on the Friday before last, on September 13, involving approximately 33,000 mechanics assembling Boeing's popular aircraft.

This Friday evening, Boeing's largest union, the International Association of Machinists and Aerospace Workers (IAM), will vote to decide whether to approve Boeing's new proposal.

It is currently uncertain whether Boeing will be able to end the strike with the new proposal. Some media outlets mentioned that the Boeing union had demanded a 40% wage increase. Other media highlighted that the new proposal did not restore the traditional retirement plan, which was a significant point of contention leading to 94.6% of union members rejecting the previous contract. However, Boeing's new proposal reaffirms the commitment to building the next new aircraft in Seattle, which is a crucial decision by the union leadership.

By the time of the vote this Friday, this round of Boeing employee strikes will have lasted for two weeks. Boeing has been enduring the impact of the strike.

Financially, Boeing has non-union employees taking turns to take leave and has frozen hiring to reduce costs. The operational impact has swept across the entire Pacific Northwest region. Due to strikes, Boeing's 737, 777, and 767 aircraft have temporarily ceased production, but non-union employees in South Carolina, USA, continue to produce the 787 aircraft.

Jefferies analyst Sheila Kahyaoglu stated that this labor dispute has caused Boeing's 'cash cow' 737 Max and other jetliner production to halt, potentially leading Boeing to burn through $1.3 billion in cash each month.

Boeing's stock price saw an expanded midday increase after the company announced a new proposal this Monday, rising over 3.3% intraday to ultimately close nearly 2% higher. By the end of Monday, the stock price had fallen about 40% year-to-date.

IAM President Brian Bryant responded to Boeing's new proposal, stating that IAM is evaluating the latest offer. Some of the key tasks to achieve reconciliation include ensuring respect and fair compensation, recognizing the sacrifices made by workers, and making progress on retirement security and other critical issues. IAM will analyze the new proposal to determine if it can help workers receive sufficient rewards based on the sacrifices they have made previously.

Editor/Rocky