UPDATE Strike At Boeing: Impacting Finances And Reputation

The International Association of Machinists and Aerospace Workers (IAMAW) District 751 is not letting up as they stand strong at the picket lines. The union is demanding a 40% wage increase, annual bonuses, and restoration of pensions lost over a decade ago. Some on the line have expressed they have saved money for the strike and plan to pick up temporary work to make ends meet if needed, as they are not letting up in negotiations. 

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CEO Kelly Ortberg

Inside the building, new CEO Kelly Ortberg, just six weeks into the job, is trying to restore Boeing’s reputation and finances. Boeing currently has $60 billion in debt and has burned through $8 billion this year alone. The company hasn't turned an annual profit since 2018, following a series of manufacturing crises. The strike is costing Boeing an estimated $50 million per day, according to Bank of America aerospace analyst Ron Epstein. 

Non-Union Employees

This strike is turning into a very detrimental situation for Boeing. Rating agencies have warned Boeing of a possible downgrade if the strike continues, which could raise borrowing costs. To try and stop the hemorrhaging of money, Boeing is mandating that non-union employees take one unpaid week off per month during the strike. This includes managers and executives. They requested the Society of Professional Engineering Employees in Aerospace (SPEEA) to voluntarily participate in the furloughs, but the union declined.