Sept 24 (Reuters) -
Boeing ( BA ) said on Tuesday it has offered to extend the
timeline for a vote on a new contract by the union representing
thousands of its striking U.S. West Coast workers, after they
rejected the company's initial Friday deadline.
"We've reached out to the union to give them more time
and offer logistical support once they decide to vote," the
planemaker said in a statement. "This strike is affecting our
team and our communities, and we believe our employees should
have the opportunity to vote on our offer that makes significant
improvements in wages and benefits."
More than 32,000 Boeing ( BA ) workers in Portland, Oregon and
the Seattle, Washington, area walked off the job on Sept. 13,
the union's first strike since 2008. The workers, who have
sought 40% higher pay and restoration of a performance bonus,
rejected an offer by the company that would have raised pay by
25% but eliminated the bonus.
On Monday, Boeing ( BA ) said it made a "best and final" pay offer,
but its largest union declined to put it to an immediate vote,
saying the proposal was still below member demands and the
planemaker had refused to bargain. The union also said it could
not organize a vote by Friday.
Labor experts said Boeing's ( BA ) moving the deadline for a
vote was the latest case of backtracking, which could undermine
the planemaker's credibility.
Before the strike, Boeing's ( BA ) commercial planes chief
Stephanie Pope told workers that its offer at that time was the
best deal they would get. On Monday, Boeing ( BA ) sweetened the deal
by offering a 30% wage hike, reinstating a performance bonus,
improving retirement benefits and doubling a ratification bonus
to $6,000.
"It's not a great thing for Boeing ( BA ) to say this is our
final offer and then fairly quickly reverse," said Harry Katz, a
professor of collective bargaining at Cornell University's
School of Industrial and Labor Relations.
"Really good bargainers don't use that language," Katz
said, adding that while the quick turnaround was "sloppy," it
was not a fatal mistake.
A spokesperson for the International Association of
Machinists and Aerospace Workers (IAM) declined comment on
Tuesday. Jon Holden on Monday night told Reuters the union was
focused on obtaining results from a survey underway of its
members about the new offer.
Cornell's Katz said workers feeling the pinch of missing
wages should be considering Boeing's ( BA ) latest offer, which he
called solid.
"At the same time, fundamentally the dynamics of the
strike are workers are losing income and they are worried about
the longer term consequences of the company losing income as
well."
The strike is the latest event in a tumultuous year for
Boeing ( BA ) that began with a January incident in which a door panel
detached from a new 737 MAX jet mid-air.
During the strike, Boeing ( BA ) has frozen hiring and started
furloughs for thousands of U.S. employees to reduce costs.
Boeing ( BA ) has planned for nonunion workers to take one week of
furlough every four weeks on a rolling basis for the duration of
the strike.
According to economic data analytics firm IMPLAN, if
Boeing's ( BA ) strike continues through Sept. 27, it would reduce U.S.
GDP by $1.0 billion dollars, and lead to $500 million in lost
labor income.