New contract ratified between Textron Aviation and IAM District 70, Local Lodge 774

On Sunday, October 20, employees represented by the International Association of Machinists and Aerospace Workers District 70, Local Lodge 774 (IAM) ratified a new five-year agreement and ended their strike. 

“We are pleased to have ratified a contract with the IAM that offers our employees, their families and the Wichita community a shared future,” said Ron Draper, president and CEO, Textron Aviation. “We value our workforce and the work they do, and this agreement reflects our commitment to our team. The ratification of this contract marks a new chapter, and we are eager to move forward together.” 

Highlights of the new contract include:

• Maintaining major manufacturing operations in Wichita
•  31% General Wage Increase over the life of the contract with an 11% wage increase immediately upon ratification. We have published wage growth charts that model how this wage increase is compounded over the life of the contract so our employees can see the substantial impact to their paycheck.  Additionally, it includes a  4% wage increase in 2025 , a 5% wage increase in 2026, a  6% wage increase in 2027  and a NEW 5% wage increase in 2028. This is in addition to the 4% increase the company voluntarily provided in 2022, when inflation was at its height. 
• Cost of living adjustment (COLA) maximum more than doubles from the previous contract from $700 to $1,500 per year  
•  A guaranteed $3,000 annual lump sum payment totals $15,000 for each employee over the life of the contract
• New longevity pay that recognizes long-term employees  
• We have capped increases on annual health insurance premiums for our low and high deductible health plans 
• No premium increases from 2025 through 2029 to the company’s no deductible health plan with added FREE services at our Plane Healthy Wellness Centers and Pharmacy locations, effective January 1, 2025. These free services include  free primary care visits,  free preventive care,  free mental health care,  free health coaching,  free physical therapy  and free labs and x-rays  
• Increased the company match to 9% to our 401K Textron Savings Plan

We are proud of and grateful for our team members who have supported our customers during this time. During the next few days, we are making the necessary preparations to welcome our bargained employees who have been on strike back to work. Employees who have been on strike can return to work beginning Wednesday, October 23. For details regarding report to work instructions, visit negotiations.txtav.com/pages/return-to-work.