Boeing Defense said it will begin hiring permanent replacement workers for striking machinists in St. Louis, escalating a labour dispute that has slowed production of munitions and military aircraft.
Vice president Dan Gillian told employees in a message on Thursday that the decision was necessary to ensure the company remained properly staffed to meet customer commitments. “Today, we’re starting the process to hire permanent replacement workers for manufacturing roles,” Gillian wrote.
The Wall Street Journal reported that the strike by 3,200 members of the International Association of Machinists and Aerospace Workers (IAM) District 837 began on 4 August after employees voted 67% to reject Boeing’s latest four-year contract offer. The proposal included a 20% general wage increase, faster wage progression, more vacation time and sick leave, and a $5,000 ratification bonus. Boeing withdrew the bonus once the deal was rejected.
Union response
IAM leaders urged Boeing to return to the bargaining table rather than recruit replacements. “Boeing is doubling down on its mismanagement by saying it plans to hire replacement workers to build military aircraft and equipment, instead of negotiating with their dedicated, generational and skilled workforce,” IAM international president Brian Bryant said in a statement.
The St. Louis strike has already disrupted output on some programmes, Gillian acknowledged in a press briefing on Wednesday. Boeing has used non-union staff to keep operations going but admitted production had slowed.
According to Reuters, job postings began on Thursday and a hiring fair is scheduled for 16 September. Gillian said new recruits would undergo the same training and certification as existing employees, including obtaining security clearances where required. Union officials noted that clearances can take around six months, raising questions over whether Boeing can quickly replace skilled machinists.
The dispute comes as Boeing invests heavily in St. Louis, where it has expanded manufacturing facilities and engineering capability. The company recently won a contract for the U.S. Air Force’s new F-47A fighter jet and is competing for the Navy’s next-generation F/A-XX aircraft.
“The striking machinists are the core that will help us do all of that,” Gillian said during Wednesday’s briefing, highlighting the importance of the St. Louis workforce to Boeing’s defence ambitions.
Union leaders argue Boeing’s contract offer falls short of settlements won elsewhere. A seven-week strike by IAM District 751 members in Washington and Oregon ended with a 38% wage increase and a $12,000 signing bonus. Boeing later extended the same $12,000 bonus to non-union employees in South Carolina. “It’s a slap in the face to not offer the same to our hard-working, dedicated IAM District 837 membership in the St. Louis area,” Bryant said.