Boeing’s aerospace engineers and technicians have approved a new contract, averting a potential strike that threatened to disrupt the company’s sensitive recovery efforts. The agreement marks the completion of the first full contract negotiation for the union in 14 years and includes significant wage increases.

The Society of Professional Engineering Employees in Aerospace, representing around 17,000 workers, conducted a week-long vote among its members. Approximately 68% of the union’s 13,000 engineers and scientists voted in favor of the deal, while 53% of the technicians’ unit approved the new contract, the union said on Thursday.

The approval follows months of negotiations amid growing concerns over Boeing’s commercial division, which has struggled since 2018 due to regulatory restrictions stemming from two 737 MAX crashes and persistent quality-control challenges. Boeing Chief Executive Kelly Ortberg emphasized the critical nature of the vote during a September investor conference, warning that a strike could halt operations on the 777 certification program, with ripple effects delaying plane production.

The contract offers wage increases totaling 34% over four years, raising base salaries to an average of about $208,000 for engineers and $163,000 for technicians. Union councils had endorsed the revised proposal in September after members initially rejected the company’s first offer in August. That earlier vote also saw about 90% of union members authorize a strike while continuing to work under existing contracts.

Union representatives highlighted concerns over compensation and work-life balance, noting that Boeing’s engineers and technicians compete for talent in the high-cost Seattle area. Katheryn Durkee, a materials and process engineer who participated in the negotiations, pointed to rising housing costs—approximately 50% above the national average in 2024 according to the federal Bureau of Economic Analysis—as a key factor behind the union’s demands.

Technicians and engineers play essential roles in Boeing’s operations—from troubleshooting factory machinery to handling certification paperwork for new projects such as the 777X wide-body jet, which has faced costly delays. Kevin Boyd, a longtime technician who began as a machinist, underscored the difficulty of replacing trained workers due to the specialized skills needed for Boeing’s unique processes.

The recent contract vote comes in the wake of a 2024 strike by 33,000 Boeing mechanics that idled the company’s factories for nearly eight weeks. That strike secured a 38% wage increase and highlighted the bargaining power of Seattle-area workers. After the initial rejection of its offer, Boeing responded by threatening to increase hiring of nonunion workers to mitigate strike risks but softened its position by mid-September, culminating in the revised proposal that ultimately gained union approval.