Boeing Labor Deal Keeps 737 Work In Washington

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Union machinists voted overwhelmingly to approve a new labor agreement with the company Wednesday night. Under the four-year contract extension, Boeing promises to manufacture its popular 737 jet at an existing plant in Washington state. With that, the union is dropping its high-profile complaint against the company for shifting some work to a nonunion plant in South Carolina.

STEVE INSKEEP, HOST:

NPR's business news starts with Boeing workers sealing the deal.

(SOUNDBITE OF MUSIC)

INSKEEP: Union machinists at the big aircraft maker voted overwhelmingly last night to approve a new labor agreement with the company. Under this four-year contract extension, Boeing promises to manufacture its popular 737 jet at an existing plant in Washington State.

LINDA WERTHEIMER, HOST:

With that, the union is dropping its high-profile complaint against the company for shifting some work to a nonunion plant in South Carolina. Under the new pay deal, the union's workers will receive yearly wage increases and pension benefits will stay intact, even though they will have to pay more for health insurance.

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