It's payback time at Boeing Co. Four years ago, the Chicago-based aerospace giant was cranking out a record 620 airplanes a year to fill orders in a booming economy. So when the International Association of Machinists union demanded a new labor pact, management felt it had little choice but to hand over a rich package with 10% bonuses, 25% pension hikes, and strong job security language. Now Boeing officials are ready for their turn. The contract covering 25,000 IAM workers expires on Sept. 1, but with the demand for planes now weak, management is acting like it wouldn't mind shutting down its factories for a while to let orders catch up with production. So the company has been playing hardball with the union. On Aug. 27, it slapped down a final offer with pay hikes of just 2% and none of the job guarantees against overseas outsourcing that union members want. IAM leaders promptly denounced the offer as "inadequate" and "insulting," setting the stage for a possible Sept. 1 walkout.
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