Boeing starts week with good news on 787 and delay in union strike

Boeing’s shares jumped the most in the Dow Jones Industrial Average on a double dose of good news, giving the planemaker a much-needed lift after months where few breaks went its way. The aerospace manufacturer has averted -- for a few days at least -- an Aug. 1 strike by 2,500 machinists that would have crippled its St. Louis-area fighter-jet plants. While they only extended talks through Wednesday, the pause buys the aircraft maker extra time to win support. US regulators separately approved a plan to inspect and repair tiny structural flaws in Boeing’s 787 Dreamliners, a milestone toward resuming deliveries that have been largely halted since late 2020. Along with the strike reprieve, the move is poised to ease pressure on Boeing’s stock, which lost about 30% of its value in the 12 months through July 29. The shares climbed 4.5% at 9:54 a.m. Monday. Members of the International Association of Machinists and Aerospace Workers District 837 rejected an earlier offer from Boeing last week, with the union saying its priorities were wages, strengthening 401(k) retirement plans and eliminating a two-tier wage system. The newly revised contract offer would provide an $8,000 lump sum that can be taken in cash or deferred to 401(k) plans while maintaining its existing Boeing 401(k) plan. It also would increase the hourly second shift pay differential and provide wage increases for everyone in every year of the contract. “This new offer builds on our previous strong, highly competitive one and directly addresses the issues raised by our employees,” a Boeing spokesperson said in a statement on Saturday. “We are hopeful they will vote yes.” <br/>