Boeing’s withdrawal of its pay offer to striking workers has threatened to compound the financial woes of the US plane maker and heap more pressure on the industry’s stretched supply chain.
With the strike of the company’s 33,000 machinists heading into its fourth week and production of its bestselling 737 Max and 767 and 777 planes on hold, the costs to the company are mounting with S&P Global Ratings warning they could hit about $1bn a month.
The stalemate between the group and members of the International Association of Machinists and Aerospace Workers District 751 (IAM), who first walked out last month, sent the company’s shares 2 per cent lower by Wednesday lunchtime in New York.
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