One union to picket Boeing; another set to vote

Puget Sound Business Journal ^ | June 7, 2005

[Righty_McRight]

The union representing 4,660 Boeing Co. employees in Wichita, Kan., plans to picket the company at various sites around the country, including the Renton headquarters of Boeing Commercial Airplanes Group.

The Society of Professional Engineering Employees in Aerospace said its members also will picket Boeing's Chicago headquarters, and the Toronto, Ontario, headquarters of Onex Corp., which is in the process of buying the Wichita facility. The union said more than 1,100 employees have been laid off by Boeing and have been told they will not have jobs with Onex when the sale closes on June 16.

Meanwhile, the International Brotherhood of Electrical Workers Local 271 votes Friday on a "best and final offer" from Onex. Union leaders are recommending approval.

If the contract is ratified, the IBEW will be the only bargaining unit of the three main unions representing former Boeing Commercial Airplanes employees to have a contract with Mid-Western Aircraft Systems Inc., the company set up by Onex (TSX: OCX.SV) to run the facilities it is buying from Boeing (NYSE: BA).

The proposal contains a 10 percent wage cut and increased premiums for health insurance. It also offers the same stock options plan of 1,000 shares for each employee that was part of the contract rejected by the International Association of Machinists and Aerospace Workers two weeks ago.

"The leadership of this country seems to believe in outsourcing work and thinks it's a good thing, even giving companies tax incentives to do so," says Jim Davis, IBEW business manager. "Right now is not the best time to be working without some kind of agreement."

There are 203 IBEW members working for Boeing in Wichita. Nine will stay with Boeing and 169 received job offers from Mid-Western Aircraft Systems. The other 25 were not offered employment at Onex.

SPEEA is much larger, representing 21,500 engineers, technical and professional employees at Boeing in Washington, Kansas, Oregon, California, Texas and Utah. SPEEA officials say the union workers have been treated poorly in the sale of the factory in Wichita.

"There is no excuse for treating people the way Boeing and Onex are in this divestiture," Jennifer MacKay, SPEEA president, said in a statement. "Experienced aerospace workers, some with decades of experience and knowledge, are being tossed aside in this frantic drive to cut costs."

On May 2, talks between SPEEA and Onex broke down over contract terms. Two weeks ago, members of the International Association of Machinists and Aerospace Workers voted down a contract offer from Onex that included pay cuts and higher health insurance premiums.

The Canadian investment company has said it will go ahead with its $1.2 billion purchase with or without contracts with the workers at the factories it's buying.

[Wiseghy]

"frantic drive to cut costs"

Uh huh, Yup.

It's called competition, from the likes of Airbus. Be thankful Boeing is still in business. The MSM has been ready to write them off for a decade, in favor those more interesting socialist folks across the pond.

[gaspar]

I am amazed that Boeing, GM and Ford are still in business. Given the irresponsibility of America's unions the bet is that at least one of three will not be in existence (or American) in 2010.

[ol' hoghead]

When I worked for Boeing in the late 60's, I was a member of the Int'l Assn of Machinists and Aerospace Workers. I went to a union meeting after work one day and the IAM was being picketed by a union representing the office workers at union headquarters. Being good union members, we refused to cross their picket line so no meeting was held. ;-)

[Righty_McRight]

haha

[ol' hoghead]

Yep!