Boeing just put out its 'final and best' offer to striking workers: a 30% wage hike and a $6,000 bonus
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- Boeing is offering a 30% wage hike to its employees in a new proposal.
- Workers started striking on September 13 after rejecting a wage increase offer.
- Boeing has since been in cost cutting mode — it has a furlough plan in place and froze hiring.
On Monday, Boeing brought another offer to the table and increased its wage proposal for the 32,000 employees who went on strike on September 13.
In the new proposal, the planemaker is offering a 30% wage increase over four years, an increase from the previous 25% hike. In its previous proposal, Boeing offered workers a $3,000 bonus if they signed the contract. The new proposal doubled the bonus amount, bringing it to $6,000 if they sign the contract by Friday, Boeing said in a letter sent to presidents of the machinists and aerospace workers' union.
The offer, which Boeing titled its "best and final offer," will also reinstate a performance-based incentive plan and increase Boeing's 401(k) match from 75% to 100% of the first 8% an employee contributes.
The new proposal comes less than two weeks after tens of thousands of Boeing employees in Washington and Oregon went on strike after voting to reject a new proposal offered by Boeing.
"Their 'no' vote was a clear mandate. Boeing must stop undervaluing its workforce. Our members deserve a contract that reflects their hard work and sacrifices," the union wrote in a statement following the vote.
The strike, which halted the production of key planes such as the 737 MAX, left Boeing scrambling to preserve cash. Last week, it said that it was furloughing a "large number" of white-collar employees and its leadership would take a pay cut for the duration of the strike. Boeing also barred employees from flying business class, and placed a hiring freeze following the walkout to cut costs.
Boeing has been facing a series of reputational losses this year, including an incident where a plane door blew out, a plane lost its wheel, and a flight had to turn around after an engine failure.
In Monday's letter to union leadership, Boeing urged bringing the new proposal to a vote "as soon as possible" so employees could return to work.
It's unclear when the proposal will be put to vote and whether a 30% wage hike will pacify employees, when some of them insisted on a 40% wage hike during the first negotiation.
The International Association of Machinists and Aerospace Workers did not immediately respond to a request for comment from Business Insider sent outside standard business hours.