Strike initiated by approximately 3,200 Boeing employees, including those in the aviation and weapons sectors
Boeing Union Workers Go on Strike After Rejecting Contract Proposal
After a seven-day cooling-off period, around 3,200 union workers belonging to the International Association of Machinists and Aerospace Workers (IAM) District 837 at Boeing plants in Missouri (St. Louis and St. Charles) and Illinois (Mascoutah) have gone on strike starting August 4, 2025. The union members rejected Boeing's latest contract offer, a four-year labor agreement that included significant incentives.
The contract proposal featured a 20% general wage increase over four years, contributing to an average wage raise of roughly 40%. Other benefits included a $5,000 ratification bonus, increased periodic raises, more vacation time and sick leave, and improvements to medical, pension, and overtime benefits.
Despite these terms, union members voted overwhelmingly against the contract, expressing that the offer did not adequately reflect their skill, dedication, or the critical role they play in building defense systems such as fighter jets. IAM leaders originally recommended approval, calling it a “landmark agreement,” but membership rejected it, emphasizing demands for higher wages and respect.
Boeing stated disappointment over the rejection of what it described as their richest contract offer so far but indicated no further talks were scheduled and began preparing for the strike. The union members, who are part of the International Association of Machinists and Aerospace Workers, build and maintain fighter jets, including the F-15 and F/A-18 models.
IAM Midwest Territory General Vice President Sam Cicinelli made a statement, stating that the union members deserve a contract that keeps their families secure and recognizes their unmatched expertise. Dan Gillian, Boeing Air Dominance vice president, made a statement, expressing disappointment that their employees rejected the offer. The impacts to Boeing's operations will depend on the length of the strike, with the company prepared to implement contingency plans using non-union labor during the walkout.
This labor conflict occurs amid Boeing’s recent layoffs (692 employees in the region) and substantial tax breaks approved by St. Louis County to incentivize Boeing job creation. The strike highlights broader tensions about wages, benefits, and working conditions for highly-skilled aerospace workers critical to national defense.
- The international aerospace industry could experience disruptions as a result of the ongoing strike by Boeing union workers, as they are responsible for building and maintaining critical defense systems like the F-15 and F/A-18 models.
- The rejection of Boeing's contract proposal, which included a 20% general wage increase over four years, has raised concerns about the financial health of the company in the long term, particularly in the international defense business.
- As Boeing prepares for the strike, the union members' demands for higher wages and recognition of their expertise in the aerospace industry may have far-reaching implications for the global economy, particularly in the defense sector and related finance markets.
