Leeham News and Analysis
There's more to real news than a news release.
Leeham News and Analysis
- Boeing unlikely to meet FAA’s 90-day deadline for new safety program April 18, 2024
- Focus on quality not slowing innovation, says GKN April 18, 2024
- Boeing defends 787, 777 against whistleblower charges April 17, 2024
- Dissecting Boeing CEO’s statement next new airplane will cost $50bn April 15, 2024
- Bjorn’s Corner: New engine development. Part 3. Propulsive efficiency April 12, 2024
Week 3, IAM-Boeing strike
Boeing and the IAM entered the third week of the strike last Saturday and there is no sign of any progress. As of last week, the two sides weren’t even talking about talking.
Update, September 24:
Seattle Post-Intelligencer: Columnist Bill Virgin has an interesting piece speculating what happens to Boeing in the Puget Sound (Seattle) region when the strike is over.
Reuters: Boeing CEO calls IAM strike a “standstill.”
Bloomberg: Boeing CEO cites economic downturn, sees risk to backlog and need for Boeing to finance customers. There is also some reporting on the IAM “standstill.”
Original Posting:
We spoke with the IAM and Boeing and each side is waiting for the other to pick up the phone and ask to talk. The mediator is staying in touch with each side, but there’s little for him to do as present.
Boeing insists that the IAM narrow down its “wants” to two or three items from the three pages presented at the last-ditch Florida talks immediately preceding the walk-out. For the IAM, it’s not that simple and without resolving the list of issues, these elements would become part of a contract.
We remain pessemistic about any early settlement.
If you are looking for reasons why Boeing would consistently misunderstand the issues, you should reseach the “force majeure” clause in its contracts.
Off the web http://www.boeing.com/companyoffices/doingbiz/idscommon/ccr/s/ssm_sz_4200_01_20061103.pdf
pages 1 and 2.
They would be penalized because they have hired subcontractors who could not do the work. However, if they have a union strike, then they are not penalized.