Boeing's West Coast Factory Workers Strike: Production Halts Amidst Labor Dispute

Boeing's factory workers on the U.S. West Coast are set to strike after a 96% vote in favor, affecting production of the 737 MAX and other jets. Workers demand higher wages and better conditions. The strike, commencing at midnight Pacific time, will impact revenue and could delay Boeing's recovery.

Boeing's factory workers on the U.S. West Coast will initiate a strike after 96% voted in favor, bringing production of the company's best-selling jet to a halt. The first strike since 2008 starts midnight Friday, as new CEO Kelly Ortberg attempts to regain trust following a mid-air incident involving a 737 MAX jet.

About 30,000 workers in Seattle and Portland voted on a new contract, rejecting it overwhelmingly. Union leader Jon Holden emphasized the strike was about respect and future negotiations. Boeing acknowledged the vote, aiming to resume talks soon.

The deal offered a 25% wage increase and bonuses, but workers wanted more. The strike, the duration of which is uncertain, could affect Boeing's financials and its suppliers. A previous strike in 2008 cost the company significantly, and an extended walkout now could similarly impact its recovery.

(With inputs from agencies.)