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GE Aerospace is confronting the imminent prospect of a strike, after employees represented by the United Auto Workers voted to authorize the move.
UAW Local 647, which represents over 600 employees at Evendale, Ohio, and Erlanger, Kentucky facilities, said members voted 84% in favor of authorization. The Ohio operation produces engines for the US Navy while Kentucky workers manage parts distribution to GE Aerospace plants worldwide.
The authorization vote does not trigger an immediate strike when the current contract lapses, but gives union leaders the authority to call one.
Union cites rising costs and job security
Union leaders said members have faced a 36% jump in health care expenses since 2021, while also raising concerns about job security and time off.
"Nobody wants to strike, but UAW members at GE Aerospace are overwhelmingly ready to because of the company's outright insulting offers on the table," said UAW Local 647 President Brian Strunk. "At some point you have to stand up, because a 36% increase in your health insurance isn't sustainable, especially from a company whose CEO made $89million last year alone."
The CEO’s compensation package for 2024 was disclosed earlier this year at nearly $90million.
Company stresses ongoing talks
Negotiations began in July, with GE Aerospace stating: “We are continuing to engage in good-faith negotiations with the UAW to reach an agreement."
The company pointed to recent agreements reached with other labor groups. Earlier this month it secured a five-year deal with 550 Evendale employees represented by the International Association of Machinists & Aerospace Workers. In July it signed a four-year deal with 2,200 employees in Kentucky, Kansas, Massachusetts and New York, represented by IUE-CWA, the industrial arm of the Communications Workers of America.
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The company’s proxy filing with the US Securities and Exchange Commission on March 13 reported the median worker’s pay in 2024 at $69,553, compared with $73,000 a year earlier.
GE Aerospace became a standalone company in 2024 after General Electric split into three separate corporations. Headquartered in Evendale, the company employs 9,000 people across Greater Cincinnati and Northern Kentucky, manufacturing and servicing engines for commercial and military aircraft and is among the region’s Fortune 500 companies.
