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Boeing Faces Turbulence As Fighter Jet Workers Threaten Strike Over ‘Richest’ Deal

Union workers assembling Boeing fighter jets rejected a proposed contract, citing unmet needs despite a 20% raise offer. A strike looms, potentially impacting F-47 production and defense operations.

Published By: Shairin Panwar
Last Updated: July 28, 2025 04:24:52 IST

Over 3,200 union workers at Boeing’s fighter jet production facilities in Missouri and Illinois have rejected the company’s latest contract offer, bringing closer the chances of a strike that could disrupt operations at the aerospace giant.

The International Association of Machinists and Aerospace Workers (IAM), which represents workers at Boeing facilities in St. Louis and Mascoutah, said the offer didn’t meet the needs of the skilled workforce. “IAM Union members sent a clear message: the Boeing Defence proposal fell short of meeting the priorities and sacrifices of the skilled … workforce,” the union released in a statement.

The existing contract is to expire at midnight Sunday. If no new agreement is negotiated within a week, IAM Local 837 members will be ready to strike, which could put defense programs critical to national security in jeopardy.

Boeing expressed disappointment over the rejection. “We’re disappointed our employees voted down the richest contract offer we’ve ever presented to IAM 837, which addressed all their stated priorities,” said Dan Gillian, Boeing Air Dominance vice-president. He confirmed no further talks were scheduled and that the company was preparing for a possible walkout.

The offer rejected contained a 20% raise for four years and more paid holidays. But it was deemed to lack guarantees for long-term employment security by union members.

The looming strike comes after a volatile year for Boeing, which has been beset by production issues and safety issues. In March, a former President Donald Trump made a public declaration that Boeing will produce the new F-47 fighter aircraft for the US Air Force to replace the aging F-22 fleet focusing new attention on Boeing’s defense division.

IAM is one of North America’s largest industrial unions, with thousands of members in aerospace, defense, and manufacturing companies.

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