ST. LOUIS, May 23 (AP) - Machinists and aerospace workers for the Boeing Company's defense unit here approved a new contract Sunday, hours before the existing contract was to expire.þþThe three-year deal, which takes effect Monday, was approved 1,221 to 808 by the International Association of Machinists and Aerospace Workers' District 837, a union spokesman, Thomas Pinski, said.þþþUnder the new deal, Boeing will not provide health coverage during retirement for anyone hired in 2005 or later. It calls for wage increases of 3 percent in the contract's first and third years, plus a $3,000 signing bonus. Workers will receive a $2,000 payment next year.þþþThe union represents about 2,800 Boeing workers in St. Louis and at Boeing sites in Patuxent River, Md., and China Lake, Calif. Union workers make fighter jets, missiles and other weapons. þþþWorkers said they had concerns about the contract, but noted that rising health care costs were affecting workers in many industries. While the contract offers job protection language, some workers said they were concerned about a proposal to let outside vendors handle some inventory and stocking duties.þþþÿThe company realizes that they've got people who are dedicated people, and they know their stuff,ÿ said Don Holmes, 54, a material handler who has been at Boeing for 30 years. ÿWhat the membership is saying is that they're willing to work with the company as long as they've got a job.ÿþþþFormal negotiations on the pact began April 26, 16 days after the union voted to authorize a strike. Boeing made what it called its ÿbest and final offerÿ on Tuesday. þþþBoeing, which is based in Chicago, is one of the St. Louis area's largest employers. The average union worker earns about $55,600 a year.þ
Source: NY Times
