Military

Boeing Threatens to Move Jobs from Seattle

Boeing Co. (NYSE: BA) warned Friday that if assembly workers and local politicians do not ratify plans to build its new 777X in Seattle, the company will consider alternative sites. The announcement came just hours after senior members of the International Association of Machinists union voiced opposition to a proposed labor contract, which is scheduled to come up for a membership vote next week.

Boeing and the union had reached a preliminary deal for the fuselage and wings of the 777X long-haul jet to be built in the Seattle area, its traditional manufacturing base. But the deal also called for reduced health care benefits and replaced the traditional pension with a defined contribution savings plan. Hundreds of assembly workers reportedly protested at Boeing’s Everett plant, where most the company’s wide-body jets are currently built, calling for the contract to be rejected.

“I know this is a piece of crap,” a machinists union leader said Thursday. “I will go to see if this can be withdrawn and not even put to a vote.” He reportedly tore up the proposed contract.

Also on Thursday, state lawmakers gathered in Olympia to consider a package of tax and other incentives to keep key manufacturing work on Boeing’s new plane in the state. In 2003, a coalition of lawmakers and the governor provided a broad package of tax breaks and other benefits to Boeing to keep 787 manufacturing in Washington. Yet, in the following years some production was shifted to Japan and a new production line was established in South Carolina.

“Assembly of that airplane will be the lynchpin of economic growth for the state of Washington for decades to come,” Governor Jay Inslee said Thursday. That may be up to Boeing and the union.

Essential Tips for Investing (Sponsored)

A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.

Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.