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Boeing, Machinists Talks To Resume
By Gene Johnson, Associated Press Writer
Manufacturing.Net - October 09, 2008

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SEATTLE (AP) -- The Boeing Co. and its striking machinists union have agreed to return to the bargaining table, both sides said Wednesday night.

A federal mediator will help hammer out details of the resumed negotiations. Union members walked out Sept. 6 in a contract dispute.

"We've been keeping the lines of communication open since the strike, and we've agreed to pursue additional talks through a federal mediator," company spokesman Tim Healy said. "We're interested in exploring whether there's a path forward to resolve the strike."

The International Association of Machinists, which represents about 27,000 workers in Washington, Oregon and Kansas, walked out after rejecting a contract offer over concerns about job security, pay, health care and retirement benefits. The electricians, mechanics, painters and other hourly workers represented by the union assemble Boeing commercial jets.

"We hope this meeting marks a major step forward," the union said in a statement to its members. It urged them to "stay strong on the picket lines. That's how we're going to secure a contract that will settle this strike."

On Monday, an analyst said the strike is expected to cost Boeing about 21 aircraft deliveries and up to 15 cents per share in earnings for every two weeks it continues.

Boeing reported last week that deliveries are way off, largely due to the strike. The company delivered 84 737s, 747s, 767s and 777s in the third quarter, down from a pre-strike forecast of 119 planes.

Boeing's commercial airplane operations, based in the Seattle area, have led a resurgence by the company over the past two years amid heavy orders for the much-awaited and increasingly delayed 787 jetliner. Even before the walkout, Boeing was scrambling to meet a revised schedule to begin test flights of the new plane late this year. That timetable has now become virtually impossible to meet.

The agreement to resume talks followed a meeting in Everett, north of Seattle, between lead negotiators for Boeing and the machinists.

Tom Wroblewski, president of Machinists District 751, said the union told Boeing Commercial Airplanes President Scott Carson at the meeting that it was concerned the company didn't understand its positions on job security and outsourcing.

Wroblewski declined to discuss other specifics of the talk, saying he didn't want to negotiate through the media. But he said, "they listened and it was agreed that we meet" to resume negotiations.

Boeing Chief Executive W. James McNerney sent a memo to employees this week that said strikes by the Machinists union -- this is the third since 1995 -- have hurt the Chicago-based company's reputation for reliability and threatened the nation's aerospace industry with a fate similar to that of automakers in Detroit.

He said it would be unwise for Boeing "to agree to terms in any contract that would fundamentally restrict our ability to manage our business."

The union has acknowledged the need for Boeing to be able to outsource, but it argues that a "vast amount" of outsourced work could be done more efficiently by its members.


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Unions kill another industry !  10/9/2008 12:05:00 PM
Headline: Unions shut down another of America's leading industries, trying to suck the last drop of blood from a company that has increased competition from other aircraft companies. When is enough, enough, for these demons ? When Boeing starts shuting down facilities and loses orders ? That will be too late. Oh, and by the way since when is it a fair negotiation when your factory is shut down and you have to make shipments. There is not a level playing field here, because Boeing cannot fire the striking workers. In cases like this, we need more bias given to the employer. You don't like what you see here ? Wait till we get Barack as Pres.
Its the CEO's who drain the money!  10/9/2008 1:41:00 PM
If the ceo's wouldnt get the fat pay and fat bonus there would be more money to give the union workers. Ceo's and higher up management waste money. give some to the blodd of your company. Its like a human body, the workers are your blood and the Big wigs are the skin, they speed more money on skin treatment and spa treatment with little left to feed there body, the blood(workers) doesnt get the nutrition it needs and slows down and makes the body fail. So the Big wigs blame the workers(the blood) and spend more on making the skin look better without putting good nutrients into the blood. Spend some of that golden parachute money set aside and give back to the workes, when times are tuff workers dont get a raise but the big wigs get double or triple the bonus from the last time. We need these unions to keep the Ceo's in check. God Bless the little people!!!
Unions  10/9/2008 1:45:00 PM
If they can do it so cheap, how about having do competitive bidding like everyone else.
CEO's draining money...  10/10/2008 11:10:00 AM
I would recommend that you become a CEO then, since that is obviously where it's more advantageous to be.
CEO's draining money  10/13/2008 5:08:00 PM
get a clue, the total $ amount spent on CEO's and upper management is only a small % of overal labor costs and production costs. The total # of people with the CEO and upper management is very small compared to the 26000 union workers and even if they get outrageous salaries is still doesn't amoutn to much in the grand sceme of things for the company. Not paying them all and giving it to the 26000 union workers probably wouldn't be enough to even give each of them even an additional 1000$ per year.


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