Boeing offers hefty pay increases to reach tentative deal with union amid weekslong machinists strike
Boeing is offering its striking workers a new financial package in order to end the ongoing strike.
Both Boeing and its workers' union announced the tentative deal on Saturday. The striking machinists will vote on the deal Wednesday.
The International Association of Machinists and Aerospace Workers Local 751 told Reuters that the new package includes a 35% pay hike over four years, a new incentive plan and a $7,000 ratification bonus.
The corporation is also offering employees 12% in 401(k) contributions, plus a one-time contribution of $5,000 to workers' retirement accounts.
BOEING STRIKE: WHAT AIRCRAFT ARE AFFECTED?
The strike, which has been ongoing for five weeks, primarily involves Boeing's West Coast workers. Around 33,000 machinists have refused to work on the 737 MAX and its 767 and 777 widebodies since Sept. 13.
Boeing said that it "looks forward to our employees voting on the negotiated proposal," but striking workers have rejected Boeing's offers in the past, even offers endorsed by union officials.
BOEING PLANS TO RAISE UP TO $35B TO SHORE UP FINANCES AS STRIKE CONTINUES
Around 95% of West Coast workers rejected Boeing's contract offer of a 25% pay rise over four years in September, shortly before the strike began. The previous offer also included a $3,000 signing bonus.
The union said that the new deal was helped with the help of Acting U.S. Secretary of Labor Julie Su, and told the striking workers it "is worthy of your consideration."
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FOX Business reached out to Boeing for comment.
Reuters contributed to this report.