Union Settles Boeing Labor Dispute, Build 737 Max In Washington

By: KAKE News Email
By: KAKE News Email

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Wednesday, November 30, 2011

The Boeing Co.and the machinists union have reached an agreement that settles a government labor dispute, while ensuring that Washington state will keep final assembly for the 737.

The aviation company said Wednesday it intends to build the new 737 MAX in Renton, pending approval of an early contract extension with the International Association of Machinists and Aerospace Workers. The union represents hourly employees in Washington, Oregon and Kansas.

The Union filed a labor dispute against Boeing after the company chose South Carolina as the location of a second 787 assembly line in 2009. But the 4-year contract should provide job security for Washington state workers.

"If our employees ratify a new agreement, building the 737 MAX in Renton will secure a long and prosperous future there, as well as at other sites in the Puget Sound area and in Portland, Ore., where 737 parts are built," said Jim Albaugh, Boeing president and chief executive officer.

Machinist are expected to vote on the contract next week. The current contract is set to expire in September 2012.

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