Business

February 24, 2014

Boeing machinists union in St. Louis approve contract extension

Members of the International Association of Machinists and Aerospace Workers District 837 have approved a long-term contract extension intended to better position Boeing to compete for work that’s critical to its St. Louis site’s future.

The company’s contract with the more than 2,300 represented workers now expires in July, 2022. It was to have expired in January, 2015.

“We welcome today’s ratification,” said Boeing St. Louis site executive Bill Schnettgoecke. “Not only does it better position us to compete, but it also ensures that our highly-skilled IAM-represented employees, those with us today and in the future, are appropriately compensated for their important work. Our collective commitment to providing customers with affordable, innovative solutions should be clear to everyone.”

Within 30 days, eligible members will receive an $8,000 signing bonus. They will also receive general wage increases in 2016, 2018, 2020, and 2022, along with lump-sum payments in 2017, 2019, and 2021.

Also, as of Jan. 1, 2016, members will transition to earning future retirement benefits in the company’s 401(k) defined contribution savings plan, while keeping the previously accrued value in their traditional pension plan. More details are available at www.boeing.com/iam-contracttalks and www.iam837.org.

In the St. Louis region Boeing workers build the F/A-18E/F and F-15 fighter jets, the EA-18G electronic attack aircraft, along with weapons and support programs.

In coming months, Boeing will bid for work that could extend some of those or bring in new projects. The contract extension improves its competitive position for those bids.

Boeing expects the changes to the IAM 837 retirement benefit plan to have an immaterial impact to 2014 core (non-GAAP) earnings. The changes are expected to result in non-cash pension curtailment charges of approximately $80 million to first-quarter GAAP earnings.

That charge is in addition to the $140 million non-cash charge, also being recorded in the first quarter, which was announced in January as a result of changes to the retirement plan for IAM 751 members, who are primarily in Washington State.




All of this week's top headlines to your email every Friday.


 
 

 

Northrop Grumman passes key design review for B-2 weapons management upgrade

Northrop Grumman has successfully demonstrated to the U.S. Air Force that its plans to upgrade key weapons management software for the B-2 stealth bomber are on track and ready to proceed to the next level of development. The company successfully completed the critical design review of the service’s Flexible Strike Phase 1 program on Feb...
 
 

Boeing creates defense data analytics group

As part of a focus on increasing its global competitiveness, Boeing Defense, Space & Security is creating a new data analytics organization to provide customers with new and advanced offerings for leveraging information technologies across its products and services. Also, Chris Raymond, currently the vice president of Business Development & Strategy for Defense, Space &...
 
 
NG-people2

Northrop Grumman names VP, mission assurance for Electronic Systems sector

Northrop Grumman has appointed Sonal B. Deshpande vice president of mission assurance for the company’s Linthicum-based Electronic Systems sector. In this position, Deshpande is responsible for mission assurance across th...
 

 
sikorsky-raider

Sikorsky S-97 Raider helicopter achieves successful first flight

Sikorsky Aircraft Corp., a United Technologies Corp. subsidiary, announced May 22 the successful first flight of the S-97 Raider™ helicopter, a rigid coaxial rotor prototype designed to demonstrate a game-changing combination...
 
 
NG-people

Northrop Grumman appoints VP, program manager ISR division

Northrop Grumman announced it has appointed Steve Lunny, vice president and program manager for the intelligence, surveillance and reconnaissance division within the company’s Information Systems sector. Lunny will report...
 
 

HELLADS laser completes development

General Atomics Aeronautical Systems, Inc. announced May 21 that the High-Energy Liquid Laser completed the U.S. government acceptance test procedure and is now being shipped to the White Sands Missile Range, N.M. At WSMR, the laser will undergo an extensive series of live fire tests against a number of military targets.  GAASI is a leading...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>