NEW YORK, Sept. 18 (Xinhua) -- Contract talks between Boeing Co. and its largest union were set to continue on Wednesday after a first round overseen by a mediator left the labor side "frustrated."
The two teams are trying to end a strike that began late last week and has paralyzed Boeing factories across the Seattle area. The company has offered a 25 percent pay increase over four years, an overture that was resoundingly defeated by workers seeking higher raises and their pensions reinstated.
"After a full day of mediation, we are frustrated," the IAM Union District 751 said in a statement. "The company was not prepared and was unwilling to address the issues you've made clear are essential for ending this strike: wages and pension."
Boeing didn't immediately respond to a request for comment. Chief Financial Officer Brian West said on Friday that the company was eager to resolve the stalemate that was eroding cash and threatening its financial recovery.
"Highlighting the dire financial backdrop, Boeing said this week that it would initiate a sweeping cost-cutting plan," said Bloomberg News in its latest report about the development.
The company slowed output this year to tackle quality lapses and supplier shortages brought to light by a near catastrophic accident on Jan. 5. That, in turn, has weighed heavily on its cash position, with the company burning through more than 8 billion dollars in the first six months, according to the report.
