Boeing Seeks $35 Billion as Worker Strike Enters Second Month

Boeing is pursuing up to $35 billion in fresh funding from investors and banks as it grapples with the costly impact of a prolonged strike involving thousands of its workers. As the walkout enters its second month, the aviation giant has announced plans to raise up to $25 billion through stock and debt offerings, alongside securing a $10 billion loan agreement with major banks to bolster its liquidity.

The strike, led by more than 30,000 Boeing workers, has already prompted the company to consider layoffs of around 17,000 employees, with redundancy notices expected in mid-November. Negotiations to end the labor dispute collapsed last week after Boeing withdrew an offer that included a 30% pay increase spread over four years.

In response to the ongoing unrest, the workers’ union, the International Association of Machinists and Aerospace Workers (IAM), held a rally in Seattle on Tuesday, calling for a fair resolution. Despite the tension, Boeing’s shares rose by 2.2% following the funding announcement.

Boeing’s financial moves come on the heels of its recent announcement to cut its workforce by 10% and expectations of posting a loss in the final quarter of the year. Acting U.S. Labor Secretary Julie Su has met with representatives from both Boeing and the IAM, while top Washington state Congressional Democrats have urged both sides to intensify efforts to find a mutually beneficial solution.