When the legislature extended Washington’s aerospace tax preferences to
secure 777X work, the stated intent
of the legislature was to maintain
and grow good aerospace jobs in
Washington. That was clearly the
expectation of the Washington public when the state committed an estimated $8.7 billion to support our
aerospace industry.
Since then, The Boeing Company announced it is moving upwards of 6,000
high-paying engineering and technical jobs out of Washington. Today,
there are more than 2,000 fewer
Boeing jobs in Washington than
in November 2013. This job loss is
not due to a downturn in the industry. It is a deliberate decision to move
future aerospace innovation and support to other parts of the country and
abroad.
Washington law ensures certain 777X
work remains in our state for companies to continue benefiting from the
aerospace tax preferences. However,
the law does not require any new
jobs be created in our state or ensure
any current job is protected for the full
tax preference to be made available.
Meanwhile, the growing and alarming number of “working poor” in the
aerospace workforce goes largely unnoticed. Unlike other states, Washington’s aerospace tax measure does not
incentivize high-wage job growth.
INCENTIVIZE GOOD
JOBS TO GROW
WASHINGTON’S
ECONOMY
For every Boeing job created in Washington , there is a 1.7-1.8 multiplier in other
job creation and economic value to the
state. Conversely, every job moved out
of state reverses this effect, resulting in
a net job loss greater than the single
aerospace job lost. Tax incentives should
align with the growth of good aerospace
jobs in Washington.
Date Washington Total Company
2013 1/31/13 86,397 173,781
10/31/13 83,295 169,908
2014 1/30/14 81,452 169,071
10/30/14 81,662 167,865
11/27/14 81,099 166,395
Boeing Employment in Washington State
Washington public: The ‘deal’ was jobs h l’ a
Shown here from left are: Council Rep Tony Hickerson, Larry Brown, legislative director with International Association of Machinists (IAM) District 751, Chelsea Orvella,
SPEEA legislative director and Council Rep Jim Lee at the Northwest Council meeting Dec. 11. Both Council Reps shared their experiences meeting with legislators, and Orvella
presented an update on the joint effort with the IAM.
