According to reports, Boeing said it is negotiating in “good faith” with one of its largest unions on a new labor contract and that the company is not reserving any conditions for a second vote.

Boeing's tentative agreement with the International Association of Machinists and Aerospace Workers (IAM) sparked dissatisfaction among some workers who They expect higher pay increases and better pension benefits.

Jon Holden, senior negotiator for the IAM, said many members want a 40 percent pay increase over the life of the contract and a return to the defined-benefit pension plan that was dropped from discussions a decade ago.

In a letter to employees, Boeing's chief operating officer, Stephanie Pope, emphasized the company's “extraordinary commitment” to the terms of the proposed agreement, which includes a 25 percent overall pay increase and a commitment to build its next commercial airplane in the Seattle area.

If union members vote down the plan and go on strike, it would pose a challenge to new CEO Kelly Ortberg, who took over last month to improve safety and increase production of the 737 MAX airliner.

Given the uncertainty surrounding the outcome of Boeing's negotiations with IAM, this event is expected to have some impact on Boeing's share price performance in 2024. In the event of a strike, it could lead to production delays, which in turn could affect order deliveries and company revenues. In addition, a prolonged labor dispute could damage the company's reputation and affect investor confidence.

On the other hand, if both parties can reach a final agreement to resolve the labor conflict, it is expected to stabilize the employees' sentiment and enhance production efficiency, which will have a positive impact on the share price. In addition, with the increase in production of the 737 MAX and the introduction of new models, Boeing is expected to improve its financial position and further boost its share price.

Investors need to closely monitor the latest progress of Boeing's negotiations with IAM and adjust their investment strategies accordingly to cope with possible market volatility.