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<< Previous   of   Next >> Associated Press  (click to enlarge) Striking Boeing Co. workers staff a picket line Tuesday outside of the plant where Boeing 737 jets are assembled in Renton. More than 25,000 members of the Machinists union have been on strike against Boeing since Sept. 6.   ADVERTISEMENT   CONTACT THE HERALD Mike Benbow, Business Editor benbow@heraldnet.com   Published: Wednesday, October 15, 2008 To Boeing's Machinists, job security still No. 1 issue Boeing says it has to keep its options open to remain competitive. Herald staff and Associated Press EVERETT -- Neither the Boeing Co. nor its Machinists union seems ready to budge on job security, an issue that could keep union members on strike into November. "We felt, we still feel, we need to get the jobs addressed first," the union's chief negotiator, Mark Blondin, said Tuesday. "They're interested in eliminating the union in the workplace ... long-term, that appears to be their goal." Boeing and the Machinists broke off contract talks Monday after reviving negotiations only late last week. In its second month, the strike has shut down production at Boeing's jetliner factories and put 27,000 Machinists on the picket lines since Sept. 6. No further discussions between Boeing and the union have been scheduled. Boeing's lead negotiator, Doug Kight, said in an interview Tuesday that the company made substantial movement to address the union's concerns when the two sides met with a federal mediator over the weekend. But the company would be unwise to guarantee jobs, Kight said. "This is about how we, as a company, most effectively grow our business," he said. "We believe we do that though process innovations and by continuously improving productivity. Time cannot stand still." Blondin said the sticking point in the latest talks was Boeing's insistence on moving to replace about 2,000 union workers who distribute parts, deliver materials and perform similar tasks with outside suppliers and subcontractors. Boeing offered to keep the 2,000 affected workers on the payroll for the term of the contract "but that over time they're not going to be there," Blondin said. The company is interested in looking at new technology, such as barcoding and radio-frequency identification chips, to make materials handling and inventory processing more efficient, Kight said. Over the past six years, incremental improvements in materials and inventory have led to the reduction of 60 positions, he said. Those employees were reassigned to other areas. The Machinists, however, fear if Boeing "succeeds in their plan" with the materials positions, the company will reduce jobs in other parts of the factory as well. The issue of outsourcing is hijacking the negotiations process and preventing Boeing and its Machinists from building the roughly 3,700 jets the company has on order. The two remain so far apart on the issue that aerospace industry analyst Richard Safran of Goldman Sachs advised clients before the renewed talks last week, "Our new working assumption is that the strike lasts through November, and we believe this is a more conservative assumption ... there is risk that the strike lasts into December." David Olson, chairman emeritus of the Harry Bridges Center for Labor Studies and professor emeritus of political science at the University of Washington, would not venture a forecast on the length of the strike but said that it could be prolonged because of "a deeper bitterness, a greater distance between the two parties" than in 1995, when the union struck for 69 days. Then the economy was less globalized and job security still an emerging issue. Olson said there was even a remote chance that President Bush could declare that the strike is "eroding the national interest" and invoke the Taft-Hartley Act after the Nov. 4 General Election, ordering the Machinists back to work for an 80-day cooling off period and sending both sides back to the table. Taft-Hartley, enacted in 1947, was last invoked in October 2002 to end an employer lockout of more than 25,000 members of the International Longshore and Warehouse Union in a contract dispute that had shut down West Coast ports. It was the first use of the law since 1978, and Olson said it would be an unlikely and ineffective tactic this time, too heavy-handed to achieve more than a short-lived suspension of hostilities. "I think both sides will have to feel the pain before this will get settled," he said. READER COMMENTS Log in or register to post new comment | Log out What ever happened to made in the USA?? Is it just me or is Boeing supposed to be an AMERICAN company? I remember when the words "Made in USA" were a big thing and I'm only 27. Boeing needs to get its head out of their *** and realize that in this wonderful screwup of an economy right now that outsourcing is just contributing to the downfall. Wow the macinists want job security... Give it to them. YUeah it might be cheaper to produce parts in a foreign country but the quality is also reduced. Just give the machinists their request. Theres how many years of backorders to fill? Give the IAM and the economy what they need. I know I couldn't survive on $150 a week. Even if I had a "Strike Fund" to dip into it wouldn't last very long. What about the new employees that have a family to support? They haven't had the time to build up their bank acounts to sustain them for verty long. Quit sending the jobs to other countries and start making products for an AMERICAN plane in AMERICA. Matt Viger | Oct 16, 2008 10:03 pm | 0 replies | View all | Post reply | Request removal Job Security??? I've often found that the best way to keep my job secure is to not show up for work. Good job IAM, way to secure those jobs. Do you really think any company will gaurantee employment to anyone? The CEO you keep harping about because he makes more money than you. Guess what, his job ain't secure either. The only way he keeps his job is to keep Boeing profitable and keep all those share holders happy. If by chance jobs are shifted or lost, guess what the vendors who are doing the job are also part of "Middle Class America" the only difference is they have to prove they're worthy of holding their job. Work Ethic | Oct 16, 2008 5:58 am | 1 replies | View all | Post reply | Request removal (No heading) For all who say they are tired of hearing or reading about the FIGHTING MACHINIST then turn the page and don't read the story. We are not going anywhere, we are here for the long haul. Your silly comments do not discourage us from our fight. Doug, Scott ,Jim you will not break our resolve. If you think that you will convince 27,000 FIGHTING MACHINIST to turn their backs on each you better think again. Todd Christensen todd christensen | Oct 16, 2008 5:58 pm | 0 replies | View all | Post reply | Request removal Job Security Job One It is clear this contract has little to do with what Boeing says it does. They have spent and or lost many times over the cost of the contract. So all the talk about being competitive goes out the window. Carson has displayed an arrogant attitude and demeanor that reflects his spoken words of wanting to get rid of the unions when possible at Boeing. I believe this closer to the true motive of Boeing leadership. If Boeing wants to be competitive, then why have they screwed up the 787 by offloading the entire plane? They lost control of future cost reductions and profitability along with many other issues. If Boeing wanted to be competitive then why do they refuse to embrace a bottom-line profit sharing program? Why not make partners out of 27,000 machinists? NOPE NADA Is the answer. Why do we tolerate excessive CEO compensation which would pay for about 50% of the hourly workforce on the 787 alone? Why do so many people bash Boeing workers when Washington State gave Boeing about 7 Billion in total tax deferment and infrastructure projects? The only way to recoup this tax money is through wages folks, Boeing wages. America is crushed today not because we have to few low paying jobs, but because we lack good family wage jobs. I for one have had enough of the Wal Street corporate welfare system. Ask yourself how's the bailout working or how's the the trickle up theory working for you? BTW, I support Ron Paul prescription for America so I'm not a bleeding heart liberal. The Machinist's are taking a stand for all working people trying to turn the tide so we can lift all boats. Don Grinde | Oct 16, 2008 12:53 am | 1 replies | View all | Post reply | Request removal Job Security? Wow, a lot of good and interesting comments or posts with some very well informed and great points. Do you out there, that are holding out for "Job Security" really think or believe that there is such a thing as "Job Security"???? The only time any one in the world can make a guarantee, is when it is your business and even in that world of owning your own business, there is no guarantee's! The past of working for a company for 35 to 45 years, and them taking good care of you and retiring with a good pension, is gone. Just come to reality with that! The global, not national, market does not permit it any more. The competition is too strong. Businesses have to be smarter and better than ever before. The United States during the post WW 2 industrial boom could do that. There was not much competition in the world at that time. So that brings us the the Unions. They were needed and still are, but in a different capacity. Though as some have pointed out, they need to change with the times. If all of the Aero Space Machinists want there ability to work for or rather with Boeing, the "Union Leader Ship" must change! If not, the same fate that has fallen on GM and Chrysler and soon maybe Ford, is in your future! GM stock was a mere $1.50 the other day ...... the greatest and largest corporation in the world just 15 years ago. The Pacific North West is a very expensive place to build commercial planes any more. The experience level of Skilled workers down in Alabama and other places such as China, Russia and Japan are growing daily. When my self, first moving to Snohomish County nearly 40 years ago, Boeing was like the Auto Industry used to be, they and the union had things pretty darn good. Times have changed drastically and people must change, if not the options are, getting run over with the change. The greatest fear of Man, is the fear of change it self! Get back to the table and embrace the change. Quit living with the head in the sand, there is a lot more out there then just the Seattle area. People are counting on you as leaders, to lead them into the future, not down the road to destruction. John Quevillon | Oct 15, 2008 3:16 pm | 0 replies | View all | Post reply | Request removal (No heading) I try hard to understand the mentality of those who say, if you don't like it, get educated and get a better job...well folks, there aren't enough jobs in any segment of society for that and I would like to know where this country would be without the people who are willng to build your planes, your homes, drive the buses, teach your children, care for your sick, protect your cities, repair your roads? Where, if we are all supposed to simply "move on" and "move up", where do we get the people to fill those jobs? And don't say we can simply continue to import impoverished, desperate souls, that is the biggest line of elitist bull I have ever heard! The reason this country continues its backward slide is easily because of elitism and corporate greed. We need to maintain a level of domestic sustainability and ensuring we have decent paying jobs that continue to help create the wealth of this country is something everyone should be willng to stand up for. CC At the Big B | Oct 15, 2008 2:17 pm | 0 replies | View all | Post reply | Request removal guaranteed jobs Wake up people. In the real world, 3 consecutive days is all it takes and your employer terminates your employment for job abandonment. As far as I'm concerned you all walked off the job and Boeing should start hiring people that want to work rather than whine. You aren't doing anything to preserve "American Jobs" so ******* your high horse and get to work or pound pavement you cry babies. I'm sick of listening to all your crap!!!! You have it better then anyone in the industry. Work Ethic | Oct 15, 2008 2:00 pm | 0 replies | View all | Post reply | Request removal Could either side be missing the point? Oh, BTW... Richard Saffron from GS is the guy who told investors to "sell" Boeing, and our stock price fell $8 in 3 days just prior to our Share Value Trust deadline. Now, he is saying the strike will last into November. Is he kidding me? The talks have degraded into nothing resolved. That point is one starting point. I think the mediator needs to bring back both sides, and perhaps another mediator. I'd even ask the Courts to get involved. One thing I know for sure. So far, no airline companies have deferred delivery on their airplanes, and orders keep coming in. However, if we don't get back to work soon, it will ripple into our customers changing their minds on orders, and Boeing again, will start the WARN notice process... maybe that is Doug Kights plan of action. My question through all of this is, show me the numbers of what it takes to be 'competitive' and 'flexible'. Employee job loss is not the answer. Perhaps a look at the books again? A month with an efficiency expert perhaps? And just who is our competition? I think that is the name of the change, gang... I don't see Airbus as our biggest competitor, but I do see China, Japan and a few other nations out there almost ready to enter the airplane building business. If Boeing is really going to be a stronger competitor in this global environment, it starts at home. To Doug and Tom. Find a way to get us off the strike line and back on THEline. My fellow Union members have proven many, many times their capabilities, not only in cost saving measures, but in their innovative ways too. Whatever the challenge Boeing needs to face, we employees have a stake in it too. Consult with us on those. Mr. Carson, I have heard your speech from the Seattle Innovation Symposium, on UWTV. (I'll post the URL in the next post) You said something to the effect that made me believe the employees could take this company far into its future. Show me now how you intend to do so. Show me how you believe in your employees, and do the right thing; bring an end to the strike. Lady Wire | Oct 15, 2008 1:19 pm | 0 replies | View all | Post reply | Request removal Stay Competitive Every time someone in America goes to a store and buys a product that was not built or made in America, they support out sourcing. Most American made cars now are built with joint venture parts that where produced outside the United States. The fruits and vegetables you buy in the store are also grown somewhere else. American investments and stocks are bought and sold on Wall Street every day to foreign investors and companies. The fact is, we are a nation that thrives on the business of other countries and we rely on their many products to survive. Think about that the next time you eat some chocolate, purchase clothing, drink coffee, or watch television. It is hard for American to compete against countries that purposely devaluate their money in order to make their products cheeper to buy, therefore under selling American made products. The fact is American products are more expensive to buy in most cases but usually exceed the quality of foreign made products. It would be impossible for America to produce every single product we rely on to function as a society. One thing is for sure, global economics is here to stay. It is not Boeings fault that they have figured out a way to become more prosperous. Unions have to figure out a way to remain competitive with the current markets in order to survive. If the union wants the right to bid on jobs that might be out sourced, then they have to be able to compete on a global market. I do not like to see American jobs out sourced as it hurts our country. Union employees provide very skilled workers to help build some of the best products in the world. The problem arises when unions charge to much for labor, they in turn over bid themselves out of a job. No one would pay one contractor more to build a house if they could find another contractor to do the job at a cheeper rate. No one wants to pay more for something if they can get a better deal somewhere else, that would be a bad business decision. L. Haggen | Oct 15, 2008 12:37 pm | 0 replies | View all | Post reply | Request removal outsourcing I am a firm believer in using technology to make any job easier, even if it means eliminating it or future jobs. History has proved this ultimately leads to creation of more jobs, though maybe not at the same company. However... using bar codes & chips alone IS NOT going to replace the 2,000 jobs at question here. Outsourcing will! This leads one to believe Boeing is simply using technology as an excuse to dismantle the Union. They have done this little sections at a time over the past years eliminating THOUSANDS. It seems to me the issue here is not necessarily outsourcing as it is a possible hidden agenda by Boeing to eliminate the Union & the right of its employees to organize. Boeing has totally under estimated the power of their employees. All they had to do was offer a fair wage increase for employees there under 5 years & the Union never would have had the votes to go on strike. But noooo, & now Boeing only have themselves to blame for the mess created. Its time for Boeing to admit they messed up here, give the Union their security and do what they do best ---take it all away in another 3 years. cme everett | Oct 15, 2008 11:52 am | 0 replies | View all | Post reply | Request removal Job Security, not these days To all the folks out there who are on strike and seeing the articles on ourtsourcing.....Wake up everyone, that is how business is done these days. You as a consumer do not buy the most expensive thing, you shop around for the best deal. That is what Boeing is doing when it comes to being more efficient. The idea of barcoding, and RFID on inventory makes sense. Sorry if it eliminates a few jobs along the way, but if you are in that job code, you know your days are numbered, so take advantage of the education benefit offered and go better yourself so you can move into a different job code. Boeing is doing what they need to do to remain competitive in today's market place. I have only been there a year, but have worked in the REAL world for many years. Companies are continually changing, and therefore some jobs are always getting cut along the way..... so roll with the punches and make yourself better. It is in your hands. If you are not willing, then I guess the door is waiting for you. You might have to go to a different company, one that expects you to produce and be efficient... Sorry, no sympathy here. Step up and take care of the problem, and lets settle this ridiculous strike, one that should never have happened and get back to work. Oh by the way, I am doing fine, I am working full time making more than I was at Boeing.... 787 Mechanic Contract Supporter | Oct 15, 2008 11:03 am | 0 replies | View all | Post reply | Request removal LOU 37 Is it the wording in Letter of Understanding #37 that has our membership so concerned about potential job loss? If so, is it not the same wording as in the 2005 contract? Is it not the same wording that we went on strike to get and were encouraged by our leadership to accept after 28 days of withholding our labor? Below is LOU 37 from contract 2005 that we agreed to after the Strike to preserve our jobs for the future. LETTER OF UNDERSTANDING NO. 37 SUBJECT: MATERIALS DELIVERY AND INVENTORY PROCESS The Company and the Union agree that parts, materials, tools, kits and other goods or products furnished by an internal or external supplier, vendor, contractor, or subcontractor may be delivered or presented to the Company at any location to be designated by the Company, including but not limited to staging areas, parts control areas, materials and tool storage areas, and/or factory locations where parts or assemblies are installed. In addition, internal and external suppliers, vendors, contractors, or subcontractors may, at the Company’s request, perform inventory transactions, which may include tracking use, disbursement, acquisition, and/or inventory of parts, materials, tools, kits, and other goods or products. The Company will conduct a quarterly review with the Union to provide status on the previous quarter’s activities. The reviews may include a discussion of opportunities to improve the Materials Delivery and Inventory process. Nothing in this Letter of Understanding will be construed to permit suppliers or vendors to install parts or components on the airplane, unless the vendors or suppliers are correcting errors or performing warranty work. The Company agrees that bargaining unit employees will not be laid off as a direct result of the Company’s conversion to the Materials Delivery and Inventory Process, unless the employees are unwilling to change jobs (including a downgrade), shifts, or locations within the bargaining unit. Employees who are employed as forklift drivers as of September 2, 2005 will continue their regular assignments for the term of the contract, including but not limited to the movement of supplier and vendor parts from local receiving areas within the factory. Dated: September 29, 2005 I would like Mark Blondin who negotiated the 2005 contract as our President and Directing Business Representative to please explain why he encouraged us to ratify the offer and end the strike in 2005, not taking a general wage increase that was proposed by the company on the first vote on September 1 and the language in LOA 37 in the 2008 contract. Please understand that I too wish to keep and grow the jobs that we can profitably do here at Boeing, but I am concerned that the language held by our leadership to be the answer to Job Security and worth Striking for 28 days to have put in contract 2005, is now the exact same language that is a threat to our Job Security and worth striking for 40 days and counting to have removed in contract 2008. Joe Member | Oct 15, 2008 10:57 am | 0 replies | View all | Post reply | Request removal 3-4 months Before I left work on Sept 5, I had 2 managers tell me they were told it would be a 3-4 month strike. Funny how they knew before the vote isnt it? This is not the Boeing my father worked for and definitely not the Boeing I hired into 22 yrs ago. What a shame that executives are allowed to run a company into the ground because of their own greed. I hope this can end soon and we can all get on with our lives, but the wounds the company are leaving on the workers are very deep and will last a very long time. Boeing86 | Oct 15, 2008 9:28 am | 0 replies | View all | Post reply | Request removal Letter to Mr Kight Hey Doug, maybe you could find the time to come out to the Monroe Fairgrounds on Saturday Oct 18. There you could explain to all the machinists who's jobs are on the line why outsourcing makes sense and we should give away our jobs. I will be there with my two daughters and you could tell them why daddy doesnt need a job at Boeing anymore. Boeing86 | Oct 15, 2008 8:55 am | 0 replies | View all | Post reply | Request removal (No heading) Unfortunately, we now have Blondin and Wrobleski failing to understand we need a 3 year contract, 3 years gentlemen- to come to another agreement and to find a way to keep the company from stripping more jobs from the ranks...not an all or nothing, right now approach...wake up! Our communities will continue to suffer as corporations are allowed to wallow in the cheap labor mentality that now drives their agendas. We have failed leadership on both sides that has allowed it to happen and no one will step up and say enough is enough, that's why we, the working class, are out there on the line again, because our leadership has failed us. The state of WA will end up like Michigan and Ohio, trying to rebuild from nothing, if Boeing has its way. But right now gentlemen, work out the next 3 year contract, then earn your money and find that middle ground that will prevent corporate America from r a p i n g the middle class! CC At the Big B | Oct 15, 2008 6:25 am | 0 replies | View all | Post reply | Request removal

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