Boeing's defense workers in St. Louis and Illinois initiated a strike after rejecting a contract proposal that included a 20% wage increase and improved retirement contributions. Approximately 3,200 machinists walked off the job, marking the first strike in nearly 30 years for the union. This labor action is expected to exert financial pressure on Boeing's defense division, which accounts for nearly a third of the company's revenue, especially as the company has recently secured significant contracts, including a multibillion-dollar deal for a next-generation stealth fighter jet.

The strike comes amid a broader trend of increased labor activism within the aerospace sector, as unions gain leverage due to a shortage of skilled workers. Boeing's management has expressed confidence in managing the strike's impact, noting that the affected workforce is significantly smaller than the one that struck last year, which had severe repercussions for the company's operations. The situation reflects ongoing tensions between labor demands and corporate strategies in a recovering aerospace market.