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Aerospace workers challenge planemakers over mandatory overtime
Jul 18, 2024 11:46 AM

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Boeing ( BA ) and Airbus workers in North America push back on

mandatory overtime

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Younger aerospace workforce demands more flexible

schedules

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Thirty percent of US aero and defense manufacturing

workforce is

aged 55 and above -McKinsey

By Allison Lampert

July 18 (Reuters) - North American aerospace factory

workers seeking to reduce mandatory overtime and lock in

four-day work weeks are facing some pushback from planemakers

trying to increase production to meet soaring demand for jets.

Manufacturers have had to make some concessions due to a

tight labor market after a wave of COVID-19-induced retirements,

but the big planemakers are not receptive to certain demands.

In aviation, improved work-life balance has joined higher

pay as key demands from pilots to aircraft mechanics after

hybrid work weeks emerged after the pandemic. But big scheduling

changes on the factory floor could weigh on manufacturers'

efforts to produce more commercial jets.

Workers at Boeing ( BA ) currently in negotiations want to

end mandatory weekend overtime, but that has emerged as a

sticking point in the talks for nearly 33,000 unionized Boeing ( BA )

factory workers whose membership voted on Wednesday for a strike

mandate, according to union officials.

Boeing's ( BA ) largest union has said members are ready to vote on

Sept. 12 to strike if needed. A labor disruption would hamper

the U.S. planemaker's expected ramp-up of output of its

strong-selling 737 MAX jet to around 38 a month by year-end.

"We've made some good improvements in limiting the amount of

designated overtime, but it's not good enough," said Jon Holden,

president of the Seattle-area local union that represents

workers on 737 MAX and other jets.

Boeing ( BA ) said on average, fewer than 1% of its employees work

mandatory weekend overtime. "We know our employees value their

time outside of work," it added.

Boeing's ( BA ) jet production has slowed sharply this year

following increased scrutiny from regulators, airlines and

lawmakers following a January incident when a door plug blew off

an Alaska Airlines jetliner while in mid-air.

FAMILY TIME

Scheduling is challenging for aerospace, in part because the

sector needs experienced mechanics on all shifts to expand

production, but older employees have the seniority to avoid

working odd hours.

European giant Airbus would not agree to four-day

weeks for A220 evening-shift workers in their recent contract

because the existing schedule is needed to support the jet's

ramp-up, said Eric Rancourt, a union official with the

International Association of Machinists and Aerospace Workers

(IAM) in Quebec.

Industry sources have said the money-losing A220, which

seats roughly 110 to 130 people, is already among the models

most heavily affected by production delays. The European

planemaker recently cut key industrial and financial targets.

Airbus, which wanted to impose overtime in June, has since

assigned the extra hours on a voluntary basis, said Christian

Bertrand, president of the local union representing

Montreal-area A220 workers.

Andy Voelker, a talent specialist at consultancy McKinsey &

Company, said younger workers entering the workforce have higher

expectations about workplace flexibility. About a third of the

U.S. aerospace and defense manufacturing and engineering

workforce is aged 55 and above, he said.

Some mechanics are making gains. Boeing ( BA ) is acquiring Spirit

AeroSystems ( SPR ), which agreed in 2023 to make mandatory

overtime voluntary on Sundays, and Montreal-area evening-shift

workers at business jet maker Bombardier have

negotiated a four-day week. Bombardier declined comment.

According to a McKinsey analysis this month, industry demand

for talent is higher than the available supply, and this could

cost a median-sized aerospace company $300 million to $330

million per year in lost productivity.

The IAM, which also represents the Boeing ( BA ) workers, is

pressing for limits on mandatory overtime during the week as

well, Seattle union official Holden said.

Unlike office employees who were able to work from home

during the pandemic, mechanics often had to take unpaid leave.

"We're never going to be able to work from home, but we do

need more time off to be able to spend with our families," he

said.

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