Boeing Machinists Strike, Financial Risks Loom

Over 33,000 Boeing machinists have commenced a strike after rejecting a contract proposal they deemed insufficient, demanding better pay, benefits, and working conditions. The union representing these workers, the International Association of Machinists and Aerospace Workers, voted 96% in favor of the strike, rejecting a contract offering a 25% wage increase over four years. The strike is expected to significantly impact Boeing's production and financial stability, potentially costing the company $1.5 billion for every 30 days of halted work. New CEO Kelly Ortberg faces the challenge of restoring trust and negotiating a satisfactory agreement. The strike follows a series of safety and quality issues at Boeing, further compounding the company's struggles. Rating agencies have warned of a potential downgrade if the strike prolongs, adding financial pressure to Boeing's already $45 billion debt load.