Every company has a percentage of the inputs into its goods and services that employees can have. The company would like it lower than the employees and there are a variety of methods to do both. Over the years companies have used wage brackets (ideally keeping people between the low and medium; when the majority gets over the medium time to change the brackets), they have offered a competitive salary with bonuses; and the list goes on. For senior management, stock options are given. Employees tend to like higher salaries with benefits rather than tied to year end results. This is particularly true if the company has a monopoly like position in the marketplace. Stock prices go up and down and salary is going up over time.

In an article by Allison Lampert and David Shepardson of Reuters, Boeing reached an agreement with the union representing its Seattle workers.

The union originally asked for a 40% raise over 4 years, the company settled for 25%. The company also added benefits such as 12 weeks of parental leave, improved job security, enhanced retirement benefits.

Boeing Commercial Airplanes CEO Stephanie Pope said the Puget Sound region will build Boeing’s next new airplane. This will go along with our other flagship models, meaning job security for generations to come.

For Boeing, the accepted deal secures labor peace, and it can raise production of its 737 Max airplanes. The deal is considered a win for new CEO Kelly Ortberg and perhaps a change in culture at Boeing.

The vote was originally recommended by the union, but rejected by the workers. Perhaps after a month they will agree. As an investor, the stock has gone down partly because of the strike, if you believe they will sign soon, then the stock will begin to rise with labor peace or you could put it on your watch list for a 2025 investment.

Linking to dividend paying stocks, as an employee of a profitable company, you want to hear your job is safe and if you continue to do what you are do you will receive a raise. Profitable companies that deal in monopoly like positions have a history of reasonable stable labor force which means the employees need to hear that should continue. If it does, then other factors can be dealt with. When the company is not profitable, stock options are desirable for when it does become profitable. Everyone lives with a degree of hope that things will be better, for some it seems the odds are better they will be.

There are more questions than answers, till the next time – to raising questions.