Striking Textron Aviation workers have been presented with an improved contract offer as the aircraft manufacturer looks to end crippling industrial action.
On October 16, 2024, the International Association of Machinists and Aerospace Workers (IAM) District 70, Local Lodge 774, informed workers that it had received an “updated offer” after talks had resumed the previous day.
On October 17, 2024, Textron set out the new terms and conditions in a public statement, saying that it expected union members to “have the opportunity to vote on the updated contract offer this weekend”.
Textron Aviation said: “In returning to the table, the company responded to the negotiating committee’s request for an extended contract duration by adding an additional year of General Wage Increase (GWI) to provide stability to our employees, their families and our community.”
On October 17, 2024, IAM 774 confirmed that the vote to ratify the new contract will be held this weekend.
The new contract increases the initial proposed GWI from 26% to 31% over five years, in “addition to the 4% increase the company voluntarily provided in 2022, when inflation was at its height”.
On September 29, 2024, the union announced that the company would stop health insurance for striking employees, starting the following day.
Textron workers have been on strike since the previous contract expired on September 22, 2024.
Additional contract improvements include:
- a guaranteed $3,000 lump sum payment each year of the contract, totaling $15,000 per employee.
- cost of living adjustment maximum more than doubled from $700 to $1,500 per year.
- new longevity pay to recognize long-term employees.
- caps on increases to annual health insurance premiums.
- no premium increases from 2025 to 2029 to the company’s no deductible health plan.
“We value our Textron Aviation team and remain committed to signing an agreement that recognizes our employees’ contributions and sets us all up for long-term success,” said Todd McKee, Senior Vice President, Integrated Supply Chain. “We encourage all eligible bargained employees to vote, ensuring each individual has a voice in their future.”