Boeing Secures Tentative Deal with Spirit Aero Workers

Key Agreement Highlights

Boeing has reached a tentative collective bargaining agreement with the Society of Professional Engineering Employees in Aerospace, or SPEEA, representing approximately 1,600 former Spirit AeroSystems workers. The union's negotiation team has unanimously recommended the proposal for approval by its members.

Post-Acquisition Negotiation Overview

This agreement follows Boeing's $4.7 billion acquisition of Spirit AeroSystems, which was completed on December 8. Labor negotiations for the Wichita, Kansas-based non-engineering unit began after the deal closed. The proposed contract aims to replace the current agreement, which is set to expire on January 31, 2026.

Economic and Contract Details

The offer includes significant financial improvements for the workers. Key terms feature a 20% increase to wage pools over approximately five years, a $6,000 ratification bonus, and a 10% 401(k) company match beginning in 2027. Enhanced medical and dental benefits, along with more vacation time, are also part of the proposed package.

Summary and Next Steps

The proposed contract is seen as a crucial step in integrating the former Spirit AeroSystems workforce into Boeing's operations, ensuring labor stability. Union members have until January 30 to vote on the offer. An affirmative vote would solidify the new terms and prevent potential labor disruptions.

FAQ

Q: What are the main financial terms of the tentative agreement?
A: The agreement includes a 20% wage pool increase over five years, a $6,000 ratification bonus, increased promotional funds, and a 10% 401(k) match starting in 2027.

Q: Who is covered under this new labor deal?
A: It covers around 1,600 white-collar, non-engineering workers in Wichita, Kansas, who were previously employed by Spirit AeroSystems and are represented by the SPEEA union.

Source: Investing.com