Boeing is building a new plant in Illinois...

Hmmm, I wonder if the workers at the former McDonnell Douglas plant in St. Louis are unionized? It has been alleged that Boeing is establishing its second 787 production line in South Carolina to break the Machinists Union at Boeing's facilities in the Puget Sound area. The company still seems to be quite upset by the disruption caused by a seven-week Machinists Union strike in 2008.

Since that strike, the company has had a goal of being more geographically diversified.
 
...I'd say, they are extremly unionized (see latest press on strikes)
 
I think they are doing this for the KC-X contract, IMHO. My guess is they need more room to build on the military side, and since St. Louis tends to be the hub of that activity, they want to keep the work there. However, there probably isn't room to expand in St. Louis, so as the article indicates, they have access to the same work force and of course, management structure/HR in the area and can just add factory space across the river.
 
Sundog said:
I think they are doing this for the KC-X contract, IMHO. My guess is they need more room to build on the military side, and since St. Louis tends to be the hub of that activity, they want to keep the work there. However, there probably isn't room to expand in St. Louis, so as the article indicates, they have access to the same work force and of course, management structure/HR in the area and can just add factory space across the river.
Click to expand...
St. Lois is the hub for tactical aircraft, but not the military side overall. Boeing Wichita has historically been the center for military aircraft based on modified commercial aircraft. Boeing is on the record that at least some finishing work on KC-X will be done in Wichita, but they have previously said they are open to moving some work to cut costs on KC-X. All things being equal, I'd be surprised if they pulled the KC-X modification work out of Wichita and moved it to a brand new plant.

Some articles from the last few days indicate this "plant" will only bring about 75 new jobs to Illinois initially and will be a component manufacturer.
 
Here in the Puget Sound, it was reported that the lease of 100 767-based tankers in 2003 would allow Boeing to keep its 767 production line open in Everett, Washington. At the time, Boeing was preparing the region for layoff notices. Thankfully, the 767 production line was able to remain open and we didn't experience an economic downturn in 2003. I believe that this production line is currently manufacturing the 787.

The expectation here has been that if Boeing wins the KC-X contract, the 767s would be manufactured in the Puget Sound region. But if Boeing establishing a plant at Mid-America Airport, it would be a slap in the face to local governments in the Puget Sound area and the State of Washington who have given Boeing $3 billion in tax breaks. The perception is that Boeing is fed up with the Machinists Union and the SPEEA Union (Society of Professional Engineering Employees in Aerospace) and is intent on leaving the Puget Sound area for cheaper labor.
 
I think they will still build the 767 there, they will then fly them to this facility in southern Illinois to "militarize" them and turn them into tankers.
 

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