Boeing’s tactics not deemed unfair over relocation threats to unhappy machinists

In a matter which started nearly a year ago in November, 2013, Boeing have been cleared of unfair tactics over their dealing with an impending machinists strike over pay and benefits. Back in November 2013 the machinists, who work for Boeing in Seattle, Washington State, were presented with the prospect of a number of non-beneficial changes to their contracts, including a pension freeze and modest pay raise. A vote to accept the offer was rejected 67% to 33%. However 2 months later the unions for machinist District 75 pushed for acceptance of an offer from Boeing based on $1 billion in additional benefits beyond the prior offer, but pension contributions would stop in 2016. The deal also tied in the 31,000 machinists in the Puget Sound area who work at Boeing to an eight-year contract which cannot be renegotiated and with striking ruled out.
What lies behind the recent discussions has been the reason for the volte face of the union. At the beginning of the year over 20 complaints were received that Boeing had been using unfair tactics in order to ‘blackmail’ the machinists into accepting the most recent offer. In the simplest of terms they were advised that 22 other states were keen for Boeing to relocate there and that if the machinists wouldn’t accept the offer from Boeing, then 10,000 jobs in the area would be put in jeopardy. Boeing at the time was intending to build the 777X in Washington State, but in moving construction of the 787 Dreamliner to Carolina State, they had made it perfectly clear they were quite capable of moving construction of the 777X elsewhere too.
Despite the claims that unlawful bargaining took place, it would appear that Boeing were quite within their right to put pressure on the machinists in the way they did and, as a consequence, Boeing will now receive over $8.7 billion in state benefits to ensure that construction of the 777X remains in Washington State.