The strike enters its fourth week, Boeing Company (BA.US) plans to restart negotiations with the machinist union.

Boeing Company (BA.US) and union leaders are scheduled to resume contract negotiations on Monday. Defense workers at Boeing Company's facilities in St. Louis and Illinois have been on strike since August 4, 2025. The workers rejected Boeing Company's proposal of a 20% pay raise, a $5000 approval bonus, more vacation and sick leave, and other ways to increase wages. Boeing Company defense spokesperson Didi VanNierop stated that the company has been able to maintain production, flight testing, and other work using non-union workers. The turmoil began when workers voted to reject the terms of the contract endorsed by the International Association of Machinists and Aerospace Workers, which represents about 19,000 engineers, technicians, and pilots. Several months ago, timed workers at Boeing Company's Seattle facilities staged a strike that paralyzed the company, their last strike being in 2008. The four-year contract offered by Boeing Company is the most generous package the company has provided to the union so far, but it comes with conditions: senior mechanics can only receive a one-time bonus instead of an annual raise, and in the backdrop of high inflation, some senior employees are still facing years without a raise. Lingering issues from the 2014 contract also continue to fuel dissatisfaction, as pensions were frozen and raises were kept low for an extended period. This has left workers in the St. Louis area with long-standing grievances, with slogans like "Senior workers deserve better treatment! 8%+0%+0%+4% equals nonsense" standing out on picket lines. Outside of Boeing Company, turmoil is spreading across the aerospace industry. Airbus UK employees are preparing to resign, a strike by Air Canada flight attendants has disrupted operations, and a strike by Raytheon Technologies machinists also disrupted airplane engine deliveries. Last week, GE Aerospace workers even voted to authorize strikes at two factories. Bank of America Corp securities analyst Ron Epstein noted, "Labor unrest is spreading everywhere." Since the COVID-19 pandemic, union power has significantly strengthened, as a shortage of highly skilled mechanics and the exit of the baby boomer generation makes replacements nearly impossible. Boeing Company CEO Kelly Ortberg has faced a second major strike since taking office a year ago, led by a union that has never gone on strike before. He initiated a "rebuilding company culture" movement starting from the factory floor, calling for "civility, respect, and openness," and repeatedly emphasizing "collaboration" in internal communications. However, these ideals are now clashing with workers' demands for better pay and pensions. The long-standing tension between Boeing Company and the union can be traced back to former CEO Jim McNerney's era. After the 2008 strike in Seattle, part of the production of the 787 Dreamliner was moved to South Carolina, where the union was not welcome. Boston College professor Thomas Kochan pointed out, "They have been eating their own fruit ever since, which has kept the union highly vigilant of the management." Boeing Company's factory in St. Louis is still open, with employees not on strike continuing to support customers. However, if the strike continues for too long, it could threaten Boeing Company's efforts to control costs and mitigate delays in its defense business. Boeing Company warned in filings in July that production disruptions could have adverse effects on its "financial condition, operational performance, and cash flow." Epstein commented, "I thought that after the Seattle strike, they would do everything possible to mitigate the impact, but that is not the case."