Strike Ended: Employees at Boeing 737 MAX Supplier Spirit

Employees at Spirit AeroSystems have approved a new labor agreement, putting an end to a six-day strike that had the potential to affect production at Boeing and Airbus. 

A four-year contract with the aerospace company was approved by about 6,000 members of the International Association of Machinists and Aerospace Workers at Spirit on Thursday, the union reported. About 63% of voters supported the agreement.

The 737 MAX’s main fuselage manufacturer, Spirit, shut down just as Boeing was about to increase production rates for both the Max and Dreamliner, two crucial revenue generators.

In a memo to staff that was obtained by Bloomberg News, Stan Deal, the head of Boeing Commercial Aeroplanes, stated, “We continue to monitor the situation as we assess any potential impacts to production and deliveries.”

Since the rank-and-file, production has been at a standstill. On June 22, Spirit employees in Kansas decided to strike in opposition to a proposal that was supported by union leaders.

Spirit and the union reached a new tentative agreement on Monday with improved conditions for health insurance and higher pay. Another point of contention for the striking workers would be the new contract’s restriction on mandatory overtime.

Spirit announced that it will start restarting business at its primary Wichita facility on June 30 and work to fully resume production by July 5. About 70% of the 737 Max’s frame, the nose section of the 787 Dreamliner, and the engine pylons for the Airbus A220 are all made by this company.

On July 5, the striking Spirit employees will resume work.

Chief Executive Officer of Spirit Tom Gentile said in a statement that the business had “listened closely to our employees and brought forward a fair-and-competitive offer.”