Boeing (ticker: BA) workers at three different plants in St. Louis area conducted a voted in which they decided to reject a contract offer from the aerospace giant and plan to begin a strike on Aug 1.
Sources say around 250,000 workers represented by the International Association of Machinists and Aerospace Workers District 837 have joined the proposed strike.
“We cannot accept a contract which is not fair or equitable, as this company continues to literally make billions of dollars each year off the backs of hardworking members,” said the union in a statement.
“Boeing previously took away their pension from our members, and now the company is unwilling to adequately compensate our members’ 401K plan,” the union added. “We will not allow this company to jeopardize our member’s hard-earned retirements.”
The company announced to the Associated Press in a statement that it was disappointed in the vote. Still, it will use its “contingency plan to support continuity of operations in the event of a strike.”
According to sources, the union members planning the strike build military aircraft, including F-15, F-18, T-7A trainer, and the MQ-25 unmanned refueler. The three union plants are located in St. Louis, St. Charles, Mo., and Mascoutah, Ill.
Boeing (ticker: BA) is expected to release its second-quarter earnings on Wednesday. Shares of the plane maker have dropped by 21.4% this year. They’d declined 0.7% to $157.01 early Monday.
Last week, the company announced an order placed by Delta Airlines (ticker: DAL) of 100 of its longest 737 MAX jets- the MAX 10- with the potential of 30 more planes.