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Boeing Strike Drags on After Talks With Union Collapse

Outsourced production remains logjam issue in dispute costing airplane-maker $100M a day

By Nick McMaster,  Newser Staff

Posted Oct 14, 2008 3:32 PM CDT

(Newser) – Talks broke down between Boeing and its machinists’ union yesterday, with no agreement in sight to end the 38-day-old strike, the Seattle Post-Intelligencer reports. Negotiations snagged over job security: Boeing has cut labor costs by outsourcing the production of certain parts formerly made by the machinists, and the return of those jobs is a requisite for the union to back any agreement.

“We don't want subcontractors in our workplace setting up parts distribution centers. That's our work,” said the union’s lead negotiator. Boeing says such practices are essential for its survival: “We want to resolve this strike so employees can return to work,” a company statement said, “but we cannot sacrifice our ability to continuously improve productivity and our long-term competitiveness for an agreement.”

Striking Boeing Co. workers staff a picket line today outside the plant where Boeing 737 airplanes are assembled in Renton, Wash.
Striking Boeing Co. workers staff a picket line today outside the plant where Boeing 737 airplanes are assembled in Renton, Wash.   (AP Photo)
Striking Boeing Co. worker Wes Lickiss, of Covington, Wash., staffs a picket line today.
Striking Boeing Co. worker Wes Lickiss, of Covington, Wash., staffs a picket line today.   (AP Photo)
Boeing Co. machinists and supporters cheer during a rally Thursday, Oct. 9, 2008, outside a Boeing administration  building in Seattle.
Boeing Co. machinists and supporters cheer during a rally Thursday, Oct. 9, 2008, outside a Boeing administration building in Seattle.   (AP Photo/Elaine Thompson)
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We are not going to bargain away the jobs of 2,000 of our members. The company has put us in an untenable position. We can't agree to contract language that does not resolve this.
- Mark Blondin, lead negotiator for IAMAW

Given current economic conditions, it is now more important than ever that we retain the ability to respond to a dynamic, uncertain environment.
- Doug Kight, Boeing vice president of human resources

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