Senator Mike Hewitt’s statement on Boeing’s announcement  

July 7, 2009

Olympia...Today Senator Mike Hewitt, R-Walla Walla, issued this statement on the Boeing Company’s announcement that it will purchase a plant in South Carolina. Hewitt is the state Senate Minority Leader and a member of Gov. Gregoire’s Council on Aerospace.

“Today’s announcement is not good news for the people of Washington, and represents another in a long line of warning signals the Legislature should be heeding about our state’s dismal business climate.

“A recent report on Washington’s competitiveness showed that two issues were very important to the aerospace industry – labor-management relations, and cost-related measures such as unemployment insurance, workers’ compensation, taxes and other business costs.

“Four of the last seven labor negotiations at Boeing have resulted in a strike. Work stoppages over the past several years have cost Boeing nine billion dollars in revenue and two billion dollars in lost profits – and Washington had the most aerospace work stoppage days of any state in which the company does business. If labor-management relations is the industry’s number one concern, and the report says that it is, why wouldn’t Boeing look to expand elsewhere given this dismal record? 

“Amazingly, on the business cost front, the Legislature made little to no progress this session on making our state more competitive. This happened despite lawmakers seeing the report that pointed out several areas where Washington just isn’t competitive, such as having one of the most expensive workers’ compensation systems in the country. Rather than address the problem, the Legislature went in the opposite direction with a myriad of business-busting bills tossed out at employers of all sizes. We even had to fight to get the most basic ‘do no harm’ change to unemployment insurance. The message this sent employers, including Boeing, could not have been worse – or more poorly timed, given how important it is to keep every job is right now. 

“It’s time for lawmakers and others in a position of influence to wake up. We must do all we can to keep Boeing and the other aerospace jobs we do have – jobs that account for thirty-six billion dollars in economic value and represents 15 percent of our state’s economy.

For more information contact Senate Republican Caucus Communications Director  Rebecca Japhet at (360) 786-7516 or japhet.rebecca@leg.wa.gov.