Boeing Machinists Strike After Talks Fail About 1,500 Boeing Machinists Strike After Talks Break Down, Satellite Launches Threatened By IAN GREGOR Associated Press Writer The Associated Press
Charles Bofferding, left, executive director of of the Society of Professional Engineering Employees in Aerospace (SPEEA), talks with Jerry Calhoun, right, Boeing Co. human resources vice president for Commercial Airplanes, Tuesday, Nov. 1, 2005 on the first day of contract negotiations prior to at morning meeting at a Seattle hotel. Looking on at center is Sharon Moats, chairwoman of the SPEEA technical workers barganing team. SPEEA, which represents about 22,000 engineers and technical workers in the Seattle area and Wichita, Kansas, is seeking a lid on health-care costs, pay raises, and a bump in pension pay as contract talks begin. (AP Photo/Ted S. Warren)
LOS ANGELES Nov 2, 2005 — About 1,500 Boeing machinists went on strike at 12:01 a.m. Wednesday after last-minute talks broke down between their union and the company unit that operates the Delta rocket program.
A federal mediator was unable to broker an agreement on raises, health benefits and retirement plans after meeting with both sides Tuesday, said Gary Quick, the chairman of the union's negotiating committee.
"We're out picketing now" at the company's Huntington Beach plant, he said.
Boeing spokesman Dan Beck said the company's offer would have given workers substantial pay increases and boosted pensions and savings plans.
"Boeing still stands by the fact that we feel we gave a very excellent offer," he said.
The strike could affect satellite launch facilities operated by Boeing's Integrated Defense Systems unit at Vandenberg Air Force Base in California and Cape Canaveral in Florida.
Already, the launch of one Delta rocket carrying NASA environmental satellites was delayed at Vandenberg because of the strike threat.
Two weeks ago, locals with the International Association of Machinists and Aerospace Workers in California, Alabama and Florida, rejected Boeing's latest offer for a three-year contract.
The machinists say Boeing has proposed ending retirement health care coverage for new employees and wants to eliminate caps on out-of-pocket expenses for medical premiums and co-pays.
"Boeing posted $1 billion in net income for last quarter and we think this is not the time we should be making concessions," union spokesman Kevin Cummings said.
The current three-year contract expired Oct. 23. It covers about 900 workers in Huntington Beach, Torrance, Vandenberg and Edwards Air Force Base in California; about 300 workers at Cape Canaveral in Florida; and about 300 workers at Boeing facilities in Huntsville and Decatur, Ala.
The company's Delta rocket program is based in Huntington Beach. The rockets are assembled at plants in Alabama and launched from Vandenberg and Cape Canaveral.
Associated Press Business Writer Gary Gentile contributed to this story.
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