Boeing workers back at factories in Seattle, jet production resumes in full swing – CNBC TV18

After nearly two months of Boeing factory workers’ strike that led to shutdown of production of 737, 767, and 777s, the planemaker has resumed production across aircraft categories, the company said on Wednesday (December 18).

“Thanks to the hard work and dedication of #TeamBoeing, we have now resumed production across our 737, 767, and 777/777X airplane programs,” Stephanie Pope, President & CEO, Boeing Commercial Airplanes, and COO, The Boeing Company, said in a LinkedIn post.

Pope said the team at Boeing has worked methodically to warm up factories in the Pacific Northwest, using Boeing’s Safety Management System to identify and address potential issues and ensure a safe and orderly restart. “In particular, we have taken time to ensure all manufacturing teammates are current on training and certifications, while positioning inventory at the optimal levels for smooth production.”

The company will closely track production health performance indicators and focus on delivering safe, high-quality airplanes on time, she said.

Boeing Commercial Airplanes CEO’s remark comes more than a month after factory workers on November 4 called off their strike that went on for 53 days as they decided to accept a new labour contract offered by the planemaker.

Last week, the company had said that aircraft deliveries in November were at the lowest in four years, with all of the planes that were handed over built prior to the strike and delivered out of inventory.

Also Read: 53 days, 4 negotiation rounds, Q3 loss and layoffs later, Boeing workers end strike and accept new contract

While the 787 Dreamliner model wasn’t affected by the strike, since it is manufactured at a non-union factory complex in South Carolina, the model has also been hampered by shortages of cabin equipment and other components.

Boeing workers’ strike, the first in 16 years, had begun on September 13 over a revision in wages and ended after the workers agreed to accept the fourth negotiation offer. The union represented by the International Association of Machinists and Aerospace Workers have previously rejected three offers.

Bank of America analysts had estimated that Boeing was losing about $50 million a day during the now-ended strike, which did not affect a nonunion plant in South Carolina where the company makes 787s. However, earlier estimates cited by Bloomberg News suggested that the stoppage at the plants was costing the company about $100 million a day in lost revenue.

(With Bloomberg inputs)