ST. LOUIS - Boeing announced Thursday it reached a tentative agreement for a three-year contract with the International Association of Machinists and Aerospace Workers District 837.
If the contract is ratified by the union members, it will provide $24,000 in additional compensation over the term of the agreement.
The pay and benefits package includes an average of 9.5 percent in wage increases, improvements in retirement benefits and health care program.
“This contract recognizes the contributions employees have made to the company's success and addresses today's business realities so that Boeing St. Louis can remain competitive in the years ahead,” said Steve Jacques, IDS vice president of manufacturing and St. Louis lead for the negotiations. “We look forward to getting this contract approved so we can continue to meet the needs of our customers and deliver the amazing products and services they have come to expect from our team.”
The contract will be offered to about 2,500 employees and include lump-sum payments of $2,500 in 2007 and 2008; general wage increases of 4 percent in 2007 and 3 percent in 2009; a 17 percent increase in pension benefits for each year of service for employees who retire on or after July 1, 2007; and a comprehensive range of health care options.