Boeing, union in 48-hour contract overtime talks

SEATTLE — Representatives from Boeing Co. and the machinists union met with a federal mediator Thursday as the clock ticked on an unusual two-day contract extension after union production workers soundly rejected a contract offer and voted to strike.

Members of the union representing 27,000 aircraft assembly workers at the aerospace giant voted overwhelmingly Wednesday to strike for an unprecedented second time in three years, then learned both sides had agreed to a 48-hour contract extension at the request of Washington Gov. Chris Gregoire and federal mediators.

Boeing spokesman Tim Healy said Thursday that the mediator was trying to help the two sides find middle ground, but he had no information on the progress of the talks.

"The goal at this point is for us to understand the union's critical few issues and evaluate the situation to see if there is a way to move forward," Healy said. "Right now, we're focused on understanding where the union is coming from and reaching an agreement."

Union spokeswoman Connie Kelliher said its representatives would not comment on the talks while they are under way.

The Seattle Times and Seattle Post-Intelligencer reported Thursday that negotiators for Boeing and the machinists union traveled to a hotel in Lake Buena Vista, Fla. The hotel is also the site of the International Association of Machinists' Grand Lodge convention, which runs through Sept. 14.

The machinists union's international president, Tom Buffenbarger, did not immediately return a call from The Associated Press made late Thursday to his room at the hotel.

"We have agreed with the federal mediator to meet in a neutral place with the union and hope to reach an agreement," Healy told The Associated Press late Thursday.

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Kelliher, who is in Seattle, said she was unaware union representatives had traveled to Florida. The union leaders have called for a media blackout of the talks, she said.

The contract had been set to expire at 12:01 a.m. Thursday before being extended to the same time Saturday morning.

The last-minute move to avert a potentially bruising strike that could cost more than 27,000 workers weeks of pay was met with frustration from rank-and-file members who had voted 80 percent against the offer and 87 percent to strike if the offer was rejected, far more than the two-thirds required for a walkout.

Under union rules, anything less than two-thirds for a strike meant the offer would have taken effect by default regardless of the vote to reject it.

Chief negotiator Mark Blondin and Tom Wroblewski, president of Machinists District Lodge 751, were repeatedly shouted down at the union hall Wednesday night with catcalls of "Sellout!" and "What was the strike vote for?"

Boeing Vice President of Human Resources Doug Kight repeatedly turned aside questions at a news conference about whether Boeing was relieved to get another chance to avert a strike by offering a sweeter deal.

"Responding to a request from the federal mediators is appropriate for both sides," Kight said. "My job at this point is to listen to the union."

Boeing's "best and final offer," presented Aug. 28 after talks that began May 8, included bonuses totaling at least $5,000 and averaging $6,400, raises averaging 11 percent, pension increases and a 3 percent cost-of-living adjustment _ $34,000 in average pay and benefit gains per employee, according to the company.

The International Association of Machinists and Aerospace Workers represents about 25,000 workers in District 751 in the Seattle area, 1,500 in District 24 in Gresham, Ore., a Portland suburb, and about 750 who do military work for Boeing in Wichita, Kan.

Analysts say a strike could cost Boeing about $100 million per day in deferred revenue. During the last strike _ a 24-day walkout in 2005 that was one of the shortest in company history _ Boeing was unable to deliver more than two dozen airplanes on schedule.

Comments

[WhirledTraveler]

Though I have mixed feelings about unions (and corporations) in today's environment, I find it disconcerting that the military contract that was argued before Congress - that resulted in redirecting the air tanker contract from Airbus to Boeing - was done so with the 'quiet' knowledge that Airbus provided more US jobs than Boeing.

Boeing is supposed to be an American company, an American supporter. Are they?

Whatever...we have allowed ourselves to be sold to the lowest bidder by our gov't and corporation. Shame on us Americans for allowing this. Time for a revolution - if only we had a real leader.

[notasonata]

How much did the top CEO make this year? His retirement benefits? His personal plane? Travel expences? $35000 does not go far enough these days. Just ask "$5,000,000 to be
above middle class" McCain. It won't be long before these jobs are shipped to China, too, giving the company a huge tax break and even more $'s to it's head honchos.

[hoopesaz]

What does the CEO have to do with this? How does comparing his/her salary to the machinest add any clarity to the situation? Unless they have similar education, similar experience, similar workloads, and similar responsibilities, then pay comparison means NOTHING. The CEO of a corporation like Boeing works 24x7. Even on vacation there is no retreat from the stress and pressures of that job. The machinest works his 8 hours then heads home for a BBQ and a beer with little thought of what challenges the next day brings.

Only a union could position an 11% pay raise and 20% bonuses as a slap in the face. Utterly remarkable. No WONDER companies want to break unions.

[tippy6]

Read the article again. The deal offers $34,000 in GAINS, meaning that this amount would be ADDED TO their already inflated wages.

And to attempt to confound the issue with CEO salaries is another tired, repetitive argument used by liberals to divert attention from the root of the problem. It is a non-issue as far as rank-and-file workers are concerned. As my esteemed colleague hoopesaz so effectively put, the job responsibilities are grossly unequal. Take any one of these hot-headed union drones and make them CEO, and they would collapse in a matter of minutes under the weight of REAL responsibility.

[tippy6]

Another sad, frustrating example of how unions create a culture of anger, violence, unearned entitlement and minimized productivity among its member workers. If I read this right, the machinists were offered increases in pay and benefits packages that average $34,000 a year per person. Yet they refuse and have the nerve to get angry about that? Most Americans would be astonished and thrilled with such an offer by their employer.

But in the Bizzaro-Union world, nothing is good enough, no one is ever satisfied until every red cent is bled out of the company and given undeservedly to the workers. Any suggestion of compromise or flexibility is met with yelling, arguments and angry threats. Just look at the guy in the picture! Is that how you want to go through life in your career, being so irate and bitter?

Boeing is offering a nice deal and great pay; quit being such crybabies and get back to work. America needs people to work, not moan and whine about nothing.

[hoopesaz]

Well stated. Astonishingly arrogant.

[springsm]

Boeing Machinists always put themselves first when Boeing needs them. They have a lot to lose if they go out on strike. Boeing needs to do this in good faith. And so do the machinists. There is that political contract that Airbus will get, there is the new plane that is still behind schedule and then there is a very sleazy gop running a close race for govenor. If he comes around...it will be devastating for all of Wa state and that includes the machinists. I wish that they would act like grownups.

[larry278]

If there is a wild cat strike, the union doesn't have to pay strike benefits. As for Airbus, they continue to have production problems sans a strike which are delaying the deliver of the A380 & other Airbus planes. Buyers are stuck with buying Boeing or Airbus unless they want smaller planes from Bombdier or other smaller firms who cater to short haul & commuter operations. Boeing & Airbus have a duo-poly in the long haul, high capacity market.

[ExPatriot70]

Lets go on strike and let Airbus take more business away from Boeing., you are already playing a catch up game with them