More than 30,000 Boeing machinists in Washington state will get a 2.6 percent performance bonus this month, for a total payout of $63 million.
Boeing will pay out a total $66 million in annual bonuses next week to almost 32,000 employees in Washington, Oregon and California represented by the Machinists union, the company said Wednesday.
In Washington state, 30,686 members of the International Association of Machinists (IAM) union will receive a total of $63 million.
That’s a pretax average of just over $2,000 each, lower than last year’s IAM bonuses, which averaged nearly $2,300.
In Oregon, 1,256 Machinists will receive a total of $2.7 million. In California, just 33 Machinists will receive a total of $64,000.
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IAM members at Boeing have an incentive plan, separate from other employee groups, that’s based on metrics assessing quality, productivity and safety.
If preset targets are met, the plan pays out 2 percent of an employee’s annual earnings. The bonus can be as much as 4 percent of annual earnings if the workforce exceeds the targets, and less than 2 percent if it falls short.
Based on 2016 performance, the payout this year is 2.6 percent of the employee’s annual earnings. Last year, the payout was 3 percent.
Machinists will receive their bonuses on Feb. 16.
A week later, nonexecutive, white-collar employees — including members of the Society of Professional Engineering Employees in Aerospace (SPEEA) union — will be paid their annual bonuses, with an average payout of $4,270.
The white-collar bonuses are based on Boeing’s financial results in 2016, when the company made a profit of $4.9 billion.