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The Boeing/NLRB issue hasn’t been especially prominent at the national level, but in Republican circles — especially in the presidential primary in South Carolina — it’s a big deal.
And as of today, it’s pretty much over.
After decades of bitter relations, Boeing and the machinists’ union vowed a new era of cooperation on Wednesday as they announced a far-reaching four-year contract extension that would raise wages, improve pensions and add thousands of new assembly jobs in Washington State to build an updated version of its 737 jet.
Union officials said that the deal resolved their disputes with Boeing and that they would ask the National Labor Relations Board to drop a politically charged case against Boeing over a new plant it opened this year in South Carolina. The agency, which filed the case in April in response to a complaint by the machinists’ union, is asserting that the company’s decision to build the $750 million plant in South Carolina constituted illegal retaliation against machinists in Washington for exercising their right to strike.
When the NLRB targeted Boeing, GOP officials, most notably Gov. Nikki Haley (R), were apoplectic. So too was Republican media, with the story drawing overheated (and largely wrong) condemnations from Rush Limbaugh, Charles Krauthammer, and a variety of on-air Fox News personalities, several of whom crafted wild conspiracy theories about President Obama trying to crush the private sector at the behest of union bosses.
The right’s fury was predictable but misguided. The NLRB had ample reason to believe Boeing illegally moved from a union plant (in the state of Washington) to a non-union plant (in South Carolina) to retaliate against previous labor strikes, and the board took steps to enforce the law. Republicans seemed outraged by the notion that a federal agency could intervene to prevent an illegal corporate move that circumvented labor laws.
The agreement reached this week should effectively resolve the conflict.
It should also, as Alec MacGillis notes, take away a key Republican talking point.
Republicans have seized on [the NLRB’s] action as Exhibit A of the Obama administration’s war against private industry, and even some labor supporters privately acknowledged the move was not ideal in its symbolism or timing. [NLRB general counsel Lafe Solomon] believed that he had no choice but to take the action to enforce the law, as a Boeing executive was on the record telling a newspaper that the move to South Carolina was being undertaken in response to threats of labor unrest in Washington state. But while plenty of labor supporters believe strongly in the larger issue at stake — the damage done when companies shift work to lower paid, nonunion workforces — it was clear that this was not the best moment to be having that argument, in the midst of an anemic recovery when Republicans could point to the empty plant in South Carolina, put on hold by Solomon’s action, as explicit proof of Obama’s alleged anti-business intentions.
And now, it appears to be over. Nikki Haley will have to find something else to talk about.
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TCinLA on December 01, 2011 2:12 PM:
So long as in the end Boeing gets to export jobs to a non-union Southern state, they win, and the struggle is far from "over," no matter what the Machinists Union sellout bureaucrats who - like so many of their AFL-CIO fellows - are willing to protect the present workforce by selling out the future workforce, spin it as.
Danp on December 01, 2011 2:16 PM:
[NLRB general counsel Lafe Solomon] believed that he had no choice but to take the action to enforce the law
He believed? Was that a legal opinion? Did he need to hire a lawyer? What the hell is he doing in that position? This is the type of thinking that should have the 99% screaming.
c u n d gulag on December 01, 2011 2:19 PM:
I don't know about you, but if I'm ever flying an a new Boeing plane again, I'll be very thankful that it was built by skillful, trained machinists in the state of Washington, rather than some uneducated, moonshine-swilling, booger-eating rube from Sisterdiddle, SC, whose new nickname is "Lefty" after he tried see how fast his lathe was spinning by putting his right hand on it.
My apologies to the smart people in SC.
In other words, the handful of brave people who constitute the Democratic Party there.
Rich on December 01, 2011 2:35 PM:
South Carolina is filled with plants that non-union employers have abandoned for foreign countries.
c u n d gulag on December 01, 2011 2:41 PM:
Rich,
Yes, but sorry - a lot of those were textile plants built when they were stealing companies from the New England states!
Go take a look at some of the former mill towns in NY, MA, CT, etc.
After over 50 years, they still haven't begun to recover.
So, F*CK SC on the case of those empty plants - that's a clear-cut case of KARMA!
Redshift on December 01, 2011 2:53 PM:
It should also, as Alec MacGillis notes, take away a key Republican talking point.
Hah, that's funny.
We're talking about people who fearmonger about "Obama is going to take away your guns!" when he's never even proposed anything in that arena, people who complain that in an era of record profits, Obama is "anti-business" because he accurately says that Wall Street is largely to blame for the financial crisis. It may not be talked about by the actual general-election candidate, but it's never going to die, because it's useful. BS artists don't care whether it's true or not, only whether it works.
ANDREW ALLAN on December 01, 2011 3:23 PM:
There's always the American deal. That could be a good GOP talking point.
Jack Davis on December 01, 2011 3:26 PM:
Read "How NLRB Helped Unions Shake Down Boeing" by Philip Klein in the DC Examiner.
Vincent on December 01, 2011 3:28 PM:
And? This action neither removes the suspicion that Obama favors union over non-union labor, and nor will it reduce the flow of jobs from unionized states to right-to-work states. The article is pointless. This is a story that has been going on since WW II, as our crude friend c u n d notes -- this minor step back by a union boss won't end this debate. Writer is way wrong. And I know a lot of very smart South Carolinians -- many of them are Republican, gulag boy.
sinz54 on December 01, 2011 3:31 PM:
The only reason liberals are furious at the workers of South Carolina is that liberals know that most of them won't vote for Obama.
So from their perspective, this is all about rewarding those good Democratic workers of Washington State instead of those nasty Republican workers of South Carolina.
Hopefully the next (Republican) president will reverse those priorities.
It's about time for liberals to get a taste of what they've been dishing out to everyone else all these years.
Gordon on December 01, 2011 3:31 PM:
Go ahead...keep perpetuating the lies Steve. Boeing didn't "move" their plant - they opened a second plant in SC to work on the backlog of 787 Dreamliner orders while expanding their Washington plant.
Not a single union job was lost when the SC plant was built, and over 1000 non-union jobs were added. In fact, since they expanded the Washington plant...they ADDED union jobs.
Now, if they had shuddered the Washington plant, laid off every single union worker, and then opened a new plant in SC...you would be accurate in saying they moved their plant. But that didn't happen.
Thus you are a liar.
student on December 01, 2011 3:32 PM:
Two questions:
1. Why didn't the union themselves bring up the lawsuit? Isn't that the purpose of a union?
2. Aren't non-union jobs still jobs?
3. What were the "ample reasons" to believe that Boeing was doing this out of spite?
4. It is my understanding that Boeing was expanding, not replacing one plant with another. Is that true?
student on December 01, 2011 3:33 PM:
whoops. poor editing. 4 questions, with a couple subquestions :)
kurtmudgeon on December 01, 2011 3:36 PM:
Boeing paid the protection money to get out of a lawsuit that they would have eventually won, and you're celebrating? Is there any reality that you can't turn
into an attack on "the right wing"?
David on December 01, 2011 3:39 PM:
What you are forgetting is that when this plant construction started the plant was unionized. The workers de-certified the IAM while the plant was being built. so, in effect, the NRLB is saying that workers cannot de-certify a union if they expect the company to spend capital in a plant.
Mark Crawford on December 01, 2011 3:47 PM:
so let me get this straight - Boeing union gets political cronies to trump up NLRB investigation to aid in union negotiations and as a result the settlement is more favourable to the union. And this trumps the talking point? au contraire.
Ed on December 01, 2011 3:48 PM:
As a Boeing retiree I believe Mr. Benen hasn't a clue what he is talking about. Despite prior denials that the NLRB actions were prompted by the unions, those unions and the Obama administration have extorted concessions from Boeing via the NLRB. This is an outrageous abuse by a government administrative agency and WILL ABSOLUTELY be a political issue in the coming election year.
I believe Mr. Benen is either clueless or is selectively ignorant of both politics and the law. Unions kill jobs, diminish quality work, and inflate prices. The sooner they disappear the better for our nation.
Liberal from Washington on December 01, 2011 3:51 PM:
As the union represents 6% of the work force, their clout is running out. Soon, as their leaders continue to spend their retirement money to elect candidates who lose election, they will become part of the non union workforce. Their work stoppages will always hamper their production. Their work quality is always suspect, and that is the reason we have so much foreign competition, both here in this country and abroad. Their influence in the coming election will be minor, as this will not be a special election for them. A new union will soon evolve to save the workforce from the old union liberals. They will be smarter to do their work with conservatives as liberal influence peaked and is now fading into the history books. Many will find new jobs for government contractors who take away waste and fraud, from the unions within the government. A new era of the union workforce is dawning, and that will leave the old union to fade away with liberalism.
Cynical Mike on December 01, 2011 3:53 PM:
More misrepresentation; Boeing wasn't MOVING any jobs; they were opening a new plant in SC, and in fact added jobs in Seattle besides. This smacks of cronyism. You're readily admitting that the NLRB was acting as the union's bitch, or they wouldn't be dropping their case simply because of a settlement of the contract. If it was wrong for Boeing to open the plant, it was wrong. It doesn't become right because they've settled in Seattle.
soggy01 on December 01, 2011 4:00 PM:
This article contains the worst analysis and understanding of a situation that I have ever seen on Salon.
Here's the real deal. Boeing has looked at its situation. They have invested 750 million dollars on a factory in South Carolina that they cannot operate. Because the factory cant open they are behind in delivery schedules for the new dream liner. All this is costing billions of dollars. They look at the presidential elections and conclude, correctly, that Obama will not be the president four years from now...and all his appointees to the NLRB will have termed out. So they cut a four year deal with the union and give them everything they want...still cheaper than failing to deliver a single dreamliner...they get to operate their South Carolina Plant...in four years...they will get back all they gave and then some..it was simply not cost effective to fight this battle now..so they did not. But for salon to think that the republicans will not make hay out of the way NLRB was so onesided and malicious...ohhh that will come up.
Leonard on December 01, 2011 4:04 PM:
I don't understand how the Union has the power to drop the suit. Either Boeing broke the law or it didn't.
c u n d gulag on December 01, 2011 4:06 PM:
Someone must have left the door open, because there are a lot of trolls, right-wing cockroaches, and morons all around the place.
If CAPTHCA can't keep these imbeciles, or the troll(s) marketing young women to old men, WHAT THE FUCK IS IT GOOD FOR?
Eben on December 01, 2011 4:08 PM:
Wow. Quite the story about the GOP illegitimately targeting the NLRB. I wouldn't want readers of this article to be mislead, so please read the non-partisan Washington Post's Editorial slamming the NLRB lawsuit.
"The law forbids employers from discriminating or retaliating against employees for lawful union activity. To prevail, an aggrieved party typically must show that the retaliation resulted in demotions, dismissals, wage reductions or other punitive measures. In Boeing’s case, these reprisals are absent; the company also claims its collective bargaining agreement gives it the explicit and exclusive right to locate work where it wishes.
The allegation that the company “transferred” jobs out of state is unconvincing because the jobs in South Carolina are new. The company has not cut jobs in Washington, nor has it demoted or slashed the wages of union workers. Boeing has added about 3,000 — albeit temporary — jobs in Washington since it announced its South Carolina plans and says it is likely to add more to keep up with demand for its commercial airliners.
Employers who engage in unfair labor practices should be penalized. But the NLRB’s move goes too far and would undermine a company’s ability to consider all legitimate factors — including potential work disruptions — when making plans. It also substitutes the government’s judgment for that of the company. This is neither good law nor good business."
See: http://www.washingtonpost.com/opinions/flight-risk-for-boeing/2011/06/17/AGH9Q5bH_story.html
ORgone on December 01, 2011 4:09 PM:
Good job Steve. Looks like you've tipped over the troll box. For my 99cents the Boeing issue is not over until they unionize South Carolina and turn Texas Blue.
Gabe on December 01, 2011 4:18 PM:
Pretty sure the unions were aplopletic about this move as well. Funny how you forget that Benen.
Gordon on December 01, 2011 4:20 PM:
I love the insinuation from gulag that "right wing cockroaches" aren't smart enough to spell two words when they're right in front of them.
Typical left wing nut.
Oh look...I spelled the words right, my post is up!
Jesse on December 01, 2011 4:24 PM:
Wow.. your analysis is so wrong, have you even followed the case? From your article:
The NLRB had ample reason to believe Boeing illegally moved from a union plant (in the state of Washington) to a non-union plant (in South Carolina)
This is the crux of where you are wrong. There was no moving of any plants. This was an expansion of the dream liner line as they are behind schedule. It is a NEW plant, not a movement of work. The work in Washington is not diminished by even one man hour. Please do not write articles regarding legal battles you clearly have not actually investigated.
john werneken on December 01, 2011 4:41 PM:
Production and work belong where the most value is produced. Period. That said, the union had a point, sorta. It was a company response to labor, clearly. It's arguable whether a violation however as this was a NEW investment, not a relocation of an existing one; one balance I think it was legal. And I think the Union saw that too. Unions don't normally betray their members by caring about non-members; they are not supposed to, so I doubt they cared if the issue would hurt their so-called friends. (Why anyone in Labor, as the IAM tends to, would coddle a bunch of exploitive yuppie Democrats escapes me entirely, but that's another story).
I am retired now, but my career included simultaneously succeeding in managing businesses, leading a very large labor union, working for the public, and being an elected official. MY idea was to benefit my constituents be they shareholders, employees, members, or voters, so that is what I did. And that is why I was successful. And mostly liked even by competitors or opponents.
It’s not rocket science: be honest about what you want and what you offer, and keep your word, and work as hard and as smart as you can.
The original dispute, in Washington State, made sense: adverse interests. The Company investment and the Union complaint made sense too: same reason. So did the side-choosing. And so does the deal that resolved it. I might have got there sooner, but these people DID get there. That is what matters.
Kris on December 01, 2011 4:44 PM:
Wow. I was going to make a salient comment on the article, but the wingnut in here is too strong.
Werewolf on December 01, 2011 4:47 PM:
Seems like the trolls here will pick one thread to hijack. What's the selection process, I wonder?
Dawn take you all, and be stone to you!
steven on December 01, 2011 5:07 PM:
I'm actually proud that Democrats consider the freedom to run your business a Republican Talking Point. It sure isn;t a Democrat one.
lightnin on December 01, 2011 5:25 PM:
It's probably safe to say that Solomon has a little over a year left in his job, and that Benen is a democrat Presstitute!
JCTP on December 01, 2011 5:26 PM:
Mr. Bennen-
You make mention of Boeing breaking labor laws. But, you don't make mention of what those laws are. You also don't make mention that the GOP was upset, not about the enforcement of labor laws by the NRLB, but by the fact that the communication chain within the union demonstrated that no laws were broken.
Additionally, this is a win for Boeing. In four years the contract is up. And the plant in SC will be open.
Bye bye corrupt Washington State union!!!
James Pharo on December 01, 2011 5:30 PM:
Why would Nikki have to stop talking about it? I'd assume she will just go on as if this never happened. Why shouldn't she? It cannot be that she'd be afraid of seeming uninformed and ignorant -- that's her best thing. It's WHY they love her in SC.
c u n d gulag on December 01, 2011 5:36 PM:
You would actually think these trolling imbeciles were funny if they weren't controlled my propaganda like Pavlov's morons were by bells, and didn't have the ability to vote.
Look on the plus side.
While they're blowing their venom here:
They probably ain't beatin' their wives.
They probably ain't beatin' their dog.
And they probably, "probably" I say, ain't f*ckin' their children, their sisters, or their Ma and Pa.
Troll on home, "Morans!!!"
Bless your hearts...
Hana Noca on December 01, 2011 5:42 PM:
I'm no pilot, but is a 737 a little different than a 787? The agreement is regarding construction of the 737 and does not cover the 787. This article is comparing apples and oranges. The talking points still apply.
c u n d gulag on December 01, 2011 5:42 PM:
Oh, and "Gordon" - congratulations!
You had the same ability to get past CAPTCHA that a site that, if not advocating, certainly hints at, pedophelia between younger women and older men.
You were directed here from some other rightie's website, so you don't know that that that "commenter" is basically also advocating child prostitution.
Maybe if it involved young boys, you'd be familiar with it.
I'm sure you're a good father, and never 'leave your boy's behind.'
Asshole!
SYSPROG on December 01, 2011 6:08 PM:
OK guys...time to pull your heads out. This was not an 'OBAMA PAYING OFF HIS CRONIES'...nor was it a 'building a NEW plant' or whatever nonsense you have dreamed up. THIS case was pending WAY before the dreamliner got it's big contract. Stop the crap. The PROBLEM was SC promised they would build a big shiny plant with taxpayers money, have no union and life would be good. They weren't moving the plant (Jesse??? honestly.) They were going to SHUT DOWN THE PLANT in Wa, kick out the union, and open in SC. Wa State had a legitimate right to be pissed. It was a power play by Albright and everyone KNEW it. Honest to god, nothing like KNOWING WHAT THIS WAS ABOUT without knowing one flippin' thing.
Ricardo on December 01, 2011 6:14 PM:
The only thing less edifying than Mr. Benen's misleading article is the collection of scatological comments by 'Gulag,' who seems to have some serious personal and/or paychological issues he needs to address.
BTW, union bullying will be a far smaller problem after November, 2012.
jon on December 01, 2011 6:16 PM:
the obama administration takes the position that it is illegal for any company to move from a unionized state to a non-union state. ultimately, if this view prevails, it means the end of manufacturing in unionized states. no one will ever be willing to set up shops in unionized states knowing that they will never be able to leave.
the nlrb ruling was a power play ... nothing more, nothing less.
moderrateGuy on December 01, 2011 6:18 PM:
Alas, it's not really over. The union mafiosi blackmailed Boeing with help from the extremely corrupt Obama "administration". The rational voters will not forget that.
Getit right on December 01, 2011 6:24 PM:
I really doubt it's over. If it is, then the NLRB acted on behalf of a union to strengthen it's bargaining position which is not within it's charter. Also, if it was illegal before the new contract it is still illegal if and after it is ratified. If the NLRB drops it's suit, it will just prove they were acting on behalf of big labor which is potentially more damaging to the Dems. Can you say cohersion.
Doug on December 01, 2011 7:14 PM:
dear Getit right, you should.
The NLRB acted on behalf of the LAW. It is illegal to threaten retaliation against union members for their union activities. That was what Boeing was doing; it threatened the Washington state union members with losing their jobs. How? By moving the production facilities to a non-unionized South Carolina factory.
Had you read Mr. Benen's article, as opposed to rewriting your given talking points, you would have read the following quote: "...to take the action to enforce the law, as a Boeing executive was on record telling a newspaper that the move to South Carolina was being undertaken in response to threats of labor unrest in Washington state."
Again, it is illegal to close a unionized factory and then re-open a non-unionized facility producing EXACTLY THE SAME product. Union negotiators, no matter what myths you may have heard, seriously consider the financial state of the company they're bargaining with; it does the union and its' members no good to get a great contract if that contract really will bankrupt the company. As you may have noticed during the auto bail-out negotiations, labor contracts dealing with laborers' incomes are definitely NOT "sacred", unlike mortgages which affect the incomes of bankers.
I, too, can say "cohersion", but I believe the word you're searching for is "coercion".
Ron on December 01, 2011 7:16 PM:
Wonder how much "stimulus" cash that cost us.
Subcaller on December 01, 2011 7:40 PM:
I think it is still a valid talking point. Sending the NLRB after a business to help a union negotiate a better deal is bad government.
Mike_in_Renton_Wa on December 01, 2011 7:53 PM:
As someone who knows much more about all of this from beginning to end, these trolls don't know s__t.
If the Boeing company still thought it had a leg to stand on regarding the NLRB complaint, they not only would not have asked the IAM to help get them out the mess they got themselves in to, the Boeing company would not have thrown in the sweetner of promising to move Wichita 767 tanker jobs to Seattle.
The Boeing company got the deal it could always get from the IAM.
The strikes in the past had been the result of the Boeing company's insistence upon give backs while the company was piling on the profit, the execs were raking in their bonuses, and the IAM was ramping production rates with less people.
The BS about the Charleston move was just that. The Boeing company not only had a hard-on against the union (just because), but publicly stated its plans for retribution.
The IAM does not fear right to work laws. But you should be a bit afraid before you step on board an airplane built by people who have the most inexpensive training available and offer their services for a fraction of those with decades of experience and a record of perfection.
Evt Electrician on December 01, 2011 8:14 PM:
Wow... has this discussion gone south. Are there any real NW Boeing workers that would speak up? This contract has been a negotiation between our union and Boeing, for the benefit of our workers. There is no Left or right wing politics here. As a Current Boeing worker in the northwest here, I am concerned about my stability and my family's future. The contract is still up for voting from our individual union members to either accept or reject the proposal. If accepted, our union would "ask" the NLSB to drop the lawsuit. Now however, since it is in motion, the NLSB could just continue at it's leisure with the lawsuit. And for people that generalize the union workers as lazy or worthless, i invite you to come face to face with me and tell me that I don't bust my ass every day at work to build the best airplane in the world. As in union or Non-union workplaces, there are Busy B's and Lazy B's. Those people are always weeded out eventually. Stop making every issue a political issue. This is about our job security and us as individuals to be treated fairly. Ask the non-union members that was let go for unfair practices, if he/she wish he had representation. We are Boeing, We are IAM751... We are the Best in the World at what we do. -D-
Ed on December 01, 2011 8:27 PM:
As a lead engineer at a plant that had both union and non-union workers my experience was that my schedule and my budget fell apart every time I had to get the union guys involved. The non-union guys were interested in getting the job done. The union guys were interested in getting off work. Probably not true for all, but was my experience and thus the way I view unions. Worthless parasites in my opinion.
John in CDA on December 01, 2011 8:28 PM:
It's amazing that so many of the writers are denigrating the incompetent uneducated "Trolls" who make some of the best automobiles in the world in nonunion states like South Carolina, Tennessee, and other right to work states in the South.
retired military on December 01, 2011 8:34 PM:
"The NLRB had ample reason to believe Boeing illegally moved from a union plant (in the state of Washington) to a non-union plant (in South Carolina) to retaliate against previous labor strikes, and the board took steps to enforce the law"
Lets see. ITS BOEING MONEY THEY SHOULD BE ABLE TO BUILD A PLANT IN WHATEVER STATE THEY WANT.
Dems just want to try to help the unions out so they can get kickbacks. The unions and their associated costs are one of the main reasons why jobs are going overseas. THe companies dont have to deal with the unions bullshit and their dem politicain cronies looking for kickbacks.
geezer117 on December 01, 2011 9:14 PM:
All of you South Carolinians, read these comments and remember them when you vote. This is what Democrats think of you.
Frank on December 01, 2011 9:34 PM:
Can you say biased writer or ignorant writer? No union jobs were lost. A new plant was built in SC and yet this yahoo says Boeing moved jobs from Washington to SC! The MSM is almost dead! I wish it would hurry up and die.
Ken on December 01, 2011 9:36 PM:
I think Boeing should have closed their Washington plant and moved to Taiwan or Hong Kong.
Me Dave on December 01, 2011 9:42 PM:
Just curious are the employees of the Washington Monthly unionized?
Co Gent on December 01, 2011 10:14 PM:
Ken: The most cogent statement here.
alan on December 01, 2011 10:48 PM:
Looks like a pretty good deal for both parties, and a good model for the country going forward. Everyone does better when everyone does better. The company realized employees are assets not liabilities, and quit trying to get paycuts during record profits. The employees know they have a good future if they don't get carried away. Looks like Boeing finally got their company back from those losers from McDouglas that did their best to ruin it. Note that the 787 was 2 years late due to poor management and over-outsourcing before the Machinists even had a LOOK at it.
Jack on December 01, 2011 10:50 PM:
Pardon, but the notion here is that paying the ransom somehow "takes away" the kidnapping charge.
NLRB has become nothing more than an arm twisting branch of one political party.
... some folks prefer a government with less thugs ... I don't think this issue is going away.