Turbulence at Boeing as workers down tools in first strike for 16 years after rejecting a 25% pay rise

Boeing is facing further turbulence after workers downed tools in the first strike for 16 years.

Staff at the troubled planemaker have walked out after rejecting a 25 per cent pay rise. The move halted production of the 737 Max jet at its sites in Seattle in the US. It was the first strike since 2008 and came weeks after Kelly

Ortberg was appointed chief executive to restore faith in the company after a door panel blew off a new 737 Max jet in mid-air in January. 

Some 30,000 members of the International Association of Machinists and Aerospace Workers, who produce Boeing’s 737 Max and other jets, took part in the vote – with 94.6 per cent rejecting the new contract and 96 per cent backing strike action.

A long strike could badly hit Boeing’s finances, which are already groaning under a £45billion debt pile.

Analysts at investment bank TD Cowen think a 50-day strike could cost it up to £2.7billion of cash flow.