With negotiations between Boeing and union members not reaching any conclusion, the aircraft manufacturer’s workers across Washington and Oregon continue to strike and have now lost health coverage provided by the company. As things escalate, the union is urging Boeing’s new CEO to ‘truly engage’ with the workers to end the strike.

Striking workers lose health benefits

More than 30,000 Boeing
machinists currently on strike have lost their company-funded health benefits as they continue to strike for a better contract. September 30th was the last day that Boeing committed to providing health coverage to striking employees.

These benefits cover the employees as well as their family members and will be reinstated once the strike ends or when the striking workers return to work. That process, however, could take up to 10 business days.

Boeing 737 MAX 9 landing

Photo: VanderWolf Images | Shutterstock

Given the current situation, the union representing the striking workers has now urged Boeing’s new CEO, Kelly Ortberg, to engage meaningfully with the workers. Reuters quotes Brian Bryant, president of the International Association of Machinists (IAM) and Aerospace Workers, as saying,

“It’s time for the new CEO to truly engage at the proposal-based level and to take the reins from his subordinates who are fumbling critical decisions like this one. There is no reason the health benefits question could not have been punted on to allow more time for negotiations at the table.”

State help

Those who have found themselves without health coverage have the option to look at Washington Health Benefit Exchange for a solution. The Senate Bill 5632, which was passed earlier this year by legislators, offers a 60-day enrollment period for workers engaged in labor disputes.

Workers can go to Washington Healthplanfinder to find a suitable plan. Washington Health Benefit Exchange (Exchange) CEO Ingrid Ulrey released a statement that said,

“This is crucial to ensure Washingtonian workers, and their families, can still access health and dental services during the strike period. We are so grateful to the Sen. Keiser and the Legislature for providing this option to support those who are affected by the strike.”

Boeing is losing money

The current strike at Boeing has continued for almost three weeks now and has cost Boeing more than half a billion in revenue already.

Negotiations between the union members and Boeing’s management failed
after Boeing released what it called its ‘best and final’ offer.

It included a pay rise of 30% over four years, more than the 25% previously proposed but less than the union members’ original demand of 40% over three years. However, a major point of contention is the reinstatement of the defined benefit pension that was removed ten years ago.

Boeing 737 MAX on Boeing's building in Renton, Washington shutterstock_1469203526

Photo: VDB Photos | Shutterstock

The strike has paused production of Boeing’s bestselling 737 MAX aircraft. The planemaker was already under stress due to delivery delays for its customers, and the current situation has certainly not helped.

Meanwhile, top executives at the company are facing pay cuts and furloughs. According to King 5, Boeing CEO Kelly Ortberg has asked for rolling furloughs, with some employees taking one week of furlough every four weeks until the strike ends.

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