Boeing Reaches Tentative Deal With 17,000 Engineers, Averting Strike Risk
BA sits 19% above its 52-week low of $176.77.
Summary
Boeing and SPEEA reached a tentative four-year contract covering 17,000 engineers and technical workers. The deal includes a 10% wage increase on October 16, followed by 4% annual raises plus merit increases through 2030, along with changes to work-from-home and overtime policies. This follows the union's overwhelming rejection of Boeing's first offer in August, which had only 3% general wage increases. The current contract expires October 6, so a strike was a real risk if no agreement was reached. SPEEA members are critical to certifying the 737 MAX 10 and 777-9, both years behind schedule, so this deal removes a major operational threat. The agreement still requires member ratification, but the tentative nature and improved terms suggest a lower probability of work stoppage.
At the time of this announcement, BA was trading at $210.40 on NYSE in the Industrial Applications And Services sector, with a market capitalization of approximately $166.3B. The 52-week trading range was $176.77 to $254.35. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Reuters.