Overview

• Boeing overhauls its bonus structure to prioritize safety and quality, shifting focus from financial incentives.
• The new bonus formula will apply to over 100,000 nonunion employees, with 60% of bonuses in the commercial unit based on safety and quality metrics.
• The change follows a series of safety incidents, including a door plug blowout on an Alaska Airlines flight, prompting criticism and a crackdown by regulatory bodies.
• The FAA has given Boeing 90 days to develop a comprehensive action plan to address systemic quality-control issues.
• Negotiations with the International Association of Machinists and Aerospace Workers union begin, unrelated to the bonus structure changes but highlighting labor relations.