Boeing Submits Contract Offer to 17,000 Engineers; Union Negotiators Endorse Deal

The Boeing Company has submitted a new contract offer to the union representing approximately 17,000 engineers and technical workers, a critical step in labor negotiations that could avert a work stoppage. The negotiating team for the Society of Professional Engineering Employees in Aerospace (SPEEA) has endorsed the proposed deal, according to a statement on the union's website.

The Proposed Agreement

Boeing confirmed on Thursday that it had sent the offer to the union, whose members are central to its commercial airplane division. While specific details of the contract were not immediately released, SPEEA's negotiating team praised the proposal.

In a post on its website, the team stated the offer "offers real and meaningful value to the membership, delivers real positive change to work/life balance and delivers on the membership’s priorities." Union officials are set to review the terms and make a formal recommendation to the full membership next week.

High Stakes for Key Programs

A new agreement is crucial for Boeing as it works to stabilize production and complete delayed certification projects. The current SPEEA contract is set to expire on October 6, and a strike could create significant setbacks for the planemaker.

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Key programs at risk include the certification campaigns for the 737 MAX 10, the largest version of its best-selling jet, and the 777-9 wide-body aircraft. Both programs are already years behind schedule and rely heavily on the engineering-intensive work performed by SPEEA members.

Context of Labor Relations

These negotiations follow a contentious period of labor relations for the aerospace giant. Boeing's last two major contract talks with the International Association of Machinists and Aerospace Workers (IAM), which represents production workers, both ended after extended strikes.

Earlier this year, in January, Boeing successfully reached a contract with about 1,600 SPEEA members in Wichita, Kansas. That agreement included a $6,000 ratification bonus, annual wage increases, and benefit improvements, potentially setting a precedent for the current talks.