A labor deal between Boeing and the union may prevent a strike.

• A labor deal was reached between Boeing and its Seattle-area workers' union, preventing a strike that was imminent.
• The deal includes 25% in pay increases over four years.
• Over 30,000 workers in Boeing's airplane factories are represented by the union.

The union representing 33,000 workers at Boeing has reached a new labor deal, averting a costly strike at the company's main factories just days before it was set to begin.

The International Association of Machinists and Aerospace Workers announced that it has reached a tentative agreement with Boeing that includes 25% raises over four years, as well as other improvements to health-care costs and retirement benefits. Additionally, the union stated that Boeing has committed to building its next airplane in the Pacific Northwest.

Although the deal still requires approval from workers, the fact that the strike has been avoided is a victory for new CEO Kelly Ortberg, who has pledged to restore the company's financial stability amid ongoing safety and quality issues.

"The company is facing financial difficulties due to its own mistakes, but the union believes that IAM members can help turn things around. The union stated on Sunday that the reputation of the company is at stake when planes leave the factory, and this proposal will help preserve the company's legacy."

A vote is scheduled for Sept. 12, the union said.

If no deal was reached by Thursday, a strike could have started immediately and the union had been pushing for more than 40% raises.

Boeing's commercial airplane unit CEO, Stephanie Pope, announced that the contract offer includes the largest-ever general wage increase, lower medical cost share for more affordable healthcare, greater company contributions toward retirement, and improvements for a better work-life balance.