Tuesday, May 04, 2004

Boeing Reaches Accord With Long Beach Factory Workers

The agreement includes raises but boosts medical insurance premiums. Other plants also agree to contract settlements.

By John O'Dell, LA Times Staff Writer


Boeing Co. has reached agreements on new contracts with union locals representing almost 5,000 workers at plants in California and Oklahoma, including the company's Long Beach aircraft factory.

Long Beach workers, who build commercial passenger jets and C-17 military cargo planes, ignored their leadership's recommendation and voted Sunday to approve a new three-year pact that provides wage increases but also calls on them to pay more of their own medical insurance costs. The pact, which covers about 2,900 Boeing employees, was approved by a vote of 710 to 630.

Separately, negotiators for Boeing and the United Automobile, Aerospace and Agricultural Implement Workers of America have given preliminary approval to a new four-year contract covering 2,000 workers who make defense and commercial aircraft products in Paramount and Santa Susana and in plants in Oklahoma. The union had been working without a contract for the last year. Terms of the new agreement will not be disclosed until the union membership's ratification vote.

The contract settlements come as Boeing faces stiff competition for commercial plane orders from Europe's Airbus and for military work from rival Lockheed Martin Corp.

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