VOL. 63 NO. 5 - JUNE 2008 - Contract Talks Open with Boeing - Negotiations and union response

Oct 22, 2026

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VOL. 63 NO. 5 JUNE 2008 reports the opening of formal contract negotiations between the Machinists Union and The Boeing Company on May 9. Union negotiators urge improvements across all contract areas, citing strong bargaining position as Boeing’s 737 and 777 production reaches record rates. Boeing’s “platform for discussion” is criticized for echoing issues that contributed to the 2005 strike, including proposals affecting retiree medical and the pension plan for new hires. The issue highlights Boeing’s profit surge, emphasizing that members should share in the gains.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages12

Reading Time30 min

AccessFree to download

Contract Talks Open with Boeing

Boeing Profits Say "It’s Our Time This Time!"

Election Results Support Negotiators

Legislative Conference and Key Issues

REPORT FROM THE PRESIDENT: Profits, Orders, Deliveries All Say It’s Our Time This Time!

| | | | | | | --- | --- | --- | --- | --- | | | | | VOL. 63 NO. 5 | JUNE 2008 | Contract Talks Open with Boeing Formal negotiations between the Machinists Union and The Boeing Company opened on May 9th, as the Union presented a comprehensive proposal which reflected the issues identified by Union members. The contract opener was held a month earlier than previous negotiations in an attempt to provide both sides more time to resolve the complex issues. Union negotiators emphasized the need for improvements in ALL areas of the contract since the Union is in the strongest bargaining position we have had in years – as the 737 and 777 hit record production rates while other members work to bring theP8APoseidon and 787 airplanes online. With soaring profits and record air- craft orders, the Boeing Company should be looking to its 27,000 Machinists with a combination of gratitude and partnership. Instead, Boeing used the opening round of contract negotiations to present their “platform for discussion” which outlined many of the takeaway issues that triggered the 2005 strike, including eliminating retiree medical for new hiresand a proposal to end the traditional pension plan for new hires. The Union has and will continue to stress the soaring profits Boeing is making and the fact that the profits should be shared with our members (see story below) . District President Tom Wroblewski made it very clear that we expect increases in every area of the contract. In reference to the issues in Boeing’s platform, Tom declared,“Boeing’s negotiation strategy of posturing to take away hard fought benefits is as flawed as their 787 production model. Both need a positive direction, which the Machinists Exchanging proposals at the contract opener with Boeing are (standing left to right) Tom Wroblewski, District 751 president, Mark Blondin, IAM Aerospace Coordinator and Doug Kight, Boeing Vice President of Human Resources and Tom Easley, Boeing Labor Relations Director. Union can provide to secure a productive outcome for all. With Boeing posting profits second only to the gas and oil companies, It’s Our Time This Time!”“It hasn’t been easy for our members during the last two contract negotiations. After the 9/11 attacks, our members had to face a Company determined to take away hard-fought benefits and contract rights. However, Boeing has rebounded and has seen profits increase 828 percent in the past five years. Boeing’s success is a direct result of the hard work and efforts of our members, who deserve a bigger share of the profits they helped create,” Wroblewski added. Boeing not only shared their platform Continued on page 7 Boeing Profits Say“It’s Our Time This Time!” By any measure, Boeing is one of the most successful corporations in U.S. industrial history. In fact, their current streak of soaring profits is second only to the oil and gas companies. Still, Boeing would like our members and the public to overlook this unprecedented streak of success and instead focus on when the cyclical aerospace industry has its next downturn. Not likely. When downturns occur, Boeing asks our members to accept less,‘cost share’ and endure other undesirable cutbacks. It’s Our Time This Time! Boeing will also say they cannot pass along increased pay and benefits costs. We agree-the costs should come out of their increased profits – not be passed along to the airline customer. With one of the strongest negotiating positions in our history, It’s Our Time, This Time will be the recurring theme that every member should constantly tell their manager. Despite growing competition in the commercial airline industry, Boeing sales and profits are growing and projections for future growth are bright. Net (after-tax) profits are up an incredible 828 percent over the past five years-from $492 million in 2002 to $4,074 million in 2007. The first quarter of 2008 shows the profits are continuing to spiral upward - with an impressiv

FAQs

When did formal contract negotiations open between the Machinists Union and Boeing?

Formal negotiations opened on May 9, when the Union presented a comprehensive proposal to Boeing.

What does the union demand regarding improvements to the contract?

Union negotiators emphasize the need for improvements in ALL areas of the contract, arguing that members are in a strong bargaining position.

What is the main message tied to Boeing’s profit surge in the issue?

The recurring theme is "It’s Our Time This Time!"—the profits should be shared with union members, not passed on to airline customers through reduced benefits or costs.

Oct 22, 2026

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