Boeing
Who started the fire?
EVERETT, WA - FEBRUARY 8: Boeing 747 jets are built in the company's factory February 8, 2009 at ... [+]
At the heart of the dispute is Boeing’s insistence on raising the time it takes for firefighters to reach the maximum pay scale from 14 years to 19 years. Negotiations have been ongoing through a federal mediator for two and a half months, with no deal reached.
“Despite extensive discussions through an impartial federal mediator, we did not reach an agreement with the union,” Boeing said in a statement. “We are disappointed the union chose not to even bring our offer to its members for one final vote.”
Boeing added it had “fully implemented our contingency plan with highly qualified firefighters performing the work of IAFF members. Our plan ensures safe operations at our Puget Sound area sites with no impact to business operations.”
For its part, the IAFF union disagrees, saying in a statement that Boeing only intends to “punish, intimidate and coerce its firefighters into accepting a contract that undervalues their work.”
IAFF union President, Edward Kelly, accuses Boeing of “putting corporate greed over safety.” Adding that Boeing’s decision to lockout union members puts safety at risk.
What Does It Pay To Fight Fires At Boeing?
RENTON, WA - MARCH 27: A Boeing 737 MAX airplane is pictured on the company's production line on ... [+]
The starting pay for Boeing’s firefighters is $25 an hour which comes to $52,000 a year. Boeing said it offered a higher pay structure and a new compensation plan for firefighters on a 24-hour shift schedule that would increase the average wage by $21,000 a year. Boeing’s firefighters on 24-hour shift are currently paid for 20 hours with $50 for the extra four hours. The company said its firefighters were paid an average of $91,000 last year.
The union argues that the salary is not on par with local fire departments and that the cost of living in the area near Boeing’s plants leaves some of its union members working second jobs or relying on public assistance to make ends meet.
Boeing’s in-house firefighting service needs to tackle any fire that starts at the facility quickly to prevent the spread of flame and toxic emissions from a combination of the materials used to build aircraft. They must respond at the facilities within four minutes, applying water or foam to avoid a dangerous blaze. They also provide fire fighting support during aircraft refueling, take-offs and landings. When there are no fires to put out, the fire department is available to handle medical emergencies and to train Boeing employees on critical safety practices. Some of Boeing’s firefighters even have special training from NASA to retrieve astronauts from the Boeing Starliner.
As ABC reports, the union claims having these firefighting specialists in-house “helps Boeing save billions of dollars on insurance.”
ABC also reported Boeing filed an unfair labor practice charge against the union with the National Labor Relations Board claiming it was “forced to spend considerable time and resources to ensure the continuity of operations.”
Is This All Literally About Firefighting?
RENTON, WA - NOVEMBER 18: Boeing 737 Max airplanes sit parked at the company's production facility ... [+]
While the decision to lock out its 125 in-house firefighters and replace them with other non-union service providers may seem extreme, it must be considered in the greater context of another ongoing Boeing labor negotiation.
Boeing is in talks with the International Association of Machinists and Aerospace Workers District 751 in Puget Sound and W24 in Portland, Oregon. While focused on negotiations for commercial aircraft workers, bargaining includes employees from Boeing Defense, Space & Security, Boeing Global Services and corporate groups.
Boeing has not had formal negotiations with the 32,000-member IAM union in 16 years. Talks began on March 8, with the contract set to expire at 11:59 p.m. on Sept. 12, 2024.
The union is looking for a 40% pay increase among other concessions. It has said it is not just interested in improving wages, but having a greater say in the company, ensuring high standards of safety for Boeing manufacturing. As part of bargaining the union is seeking a seat on the board.
Granting both the IAM and the Boeing engineers union SPEEA a seat on the board is something that veteran industry analyst Scott Hamilton of Leeham News had recommended following the previous 737-MAX crisis, when Dave Calhoun took the reins of the company as CEO.
It might go a long way to address concerns over the safety culture at Boeing, but Boeing would need to be willing to listen to and act on recommendations by union board members. This practice of giving workers a say in the company’s direction, while common in Europe, has not played out often or well in the U.S. Boeing could decide to set a new standard with a successful adoption of this model. Or not.
While Boeing says negotiations with the IAM are progressing as scheduled and “have been respectful,” union leaders expressed anger over the current situation at Boeing from the start. As Skift reported, union president Holden said, “People are angry, and we’re going to have that be part of the leverage we bring to the negotiations.”
Is Boeing Adding Fuel To A Fire?
RENTON, WA - JUNE 18: A Boeing 737 MAX 10 airliner takes off from Renton Municipal Airport for its ... [+]
Alluding to Boeing’s many ongoing fires, Holden added, “Right now we feel we have leverage that is better than any time in our history. We’re going to use that and our members want to use that.”
Stephanie Pope, who was recently appointed CEO of Boeing Commercial Airplanes during the management shakeup that saw company CEO Dave Calhoun announce his resignation by the end of the year, met with Holden in April.
In a company update on the bargaining process on April 26, she said, “We’ve been having very constructive meetings and feedback. We’ll let that process play out. I did meet with Jon last week and I can tell you, we are aligned and engaged on what we want the future of this company to look like and I’m very encouraged for the opportunity to partner and make that happen.”
The company’s decision to lock out its in-house firefighters could be wholly unrelated to ongoing IAM negotiations. But Boeing has sent a message that it’s willing to put up with more negative press to win labor disputes.
