Aug. 30 (Bloomberg) -- Boeing Co. may have miscalculated when it made direct appeals to workers during contract talks, goading union leaders to call for a strike next week.

The International Association of Machinists and Aerospace Workers yesterday rejected an offer that included an 11 percent raise in base pay, setting up a possible Sept. 4 walkout that would shut down Boeing's Seattle manufacturing hub and possibly further delay the new 787 Dreamliner. In an added shot, the union filed unfair-labor charges against the planemaker with a U.S. agency over one-on-one meetings managers held with machinists.

``Boeing believes that its offer, which is actually quite good, would appeal to the workers if only presented to them directly,'' said Gary Chaison, a labor-relations professor at Clark University in Worcester, Massachusetts. ``The company seems to have confused public relations with collective bargaining,'' usurping union leaders' role in communicating with members.

A strike may cost Chicago-based Boeing $120 million a day in lost revenue, Jefferies & Co. analyst Howard Rubel estimates. The company needs to build about 160 planes by year-end to meet its delivery goals and wants to fly the Dreamliner for the first time by December to start shipping it to customers in next year's third quarter, at least 14 months later than first planned.

Rising fuel prices have led airlines to order record numbers of new, more fuel-efficient planes, giving Boeing a $275 billion backlog that would take machinists eight years to build. Record profits since the last contract was negotiated three years ago gave workers more confidence at the bargaining table.

``All our members want is a little bit of the pie they've helped create,'' Tom Wroblewski, president of the IAM's District 751 in Seattle, said at a news conference yesterday. ``The offer fell short in job security'' as well as health care, wages, time off, pensions, profit-sharing and other issues, he said.

Boeing Strategy

Boeing, the world's No. 2 commercial-plane maker and defense contractor, took a risk with its new strategy this year of open communication with the 27,000 machinists in Washington state, Oregon and Kansas. The company posted full proposal terms online during talks instead of letting union leaders present details to members. Boeing also cut off bargaining Aug. 28, six days before the current contract expires Sept. 3, saying it wanted to give workers time to study the package before voting.

Wroblewski, in an earlier interview, said the company had ``shot itself in the foot'' with its tactics. If two-thirds of voters reject Boeing's proposal, a strike will start at 12:01 a.m. Sept. 4.

``We may find that the rank-and-file reject the recommendation'' from union leaders, Rubel said. ``They've had more access to information than they've ever had, so they can talk it over. Everything they asked for, Boeing more or less gave them.''

`Strike Issues'

Boeing dropped most plans the union had termed ``strike issues'' and offered a package that would boost overall average compensation, including overtime, bonuses and benefits, by 23 percent over three years to $110,400. The company said it made sure the offer was sustainable and would keep it competitive. Boeing lost its title as No. 1 planemaker to Toulouse, France- based Airbus SAS in 2003.

``We're extremely disappointed that the union is recommending that our employees reject what adds up to the best contract in the aerospace industry,'' company spokesman Tim Healy said yesterday. ``We hope our employees recognize the value of this offer. It is our best and final.''

The union, meanwhile, ``would welcome the help of a federal mediator'' to bring Boeing back to the table before Sept. 3 for further negotiations, Wroblewski said. The union's complaint against Boeing was filed with the National Labor Relations Board.

Machinists have followed leaders' voting recommendations in three of the last four negotiations, stopping work over two of them to gain contract improvements. The most recent walkout shaved $300 million from Boeing's second-half earnings in 2005.

Boeing rejected the union's claim that managers met one-on- one with workers ``to enhance their own bargaining position, undermine the union and intimidate our members.'' The company has always asked employees for feedback on negotiations, Healy said.

To contact the reporter on this story: Susanna Ray in Seattle at sray7@bloomberg.net

Last Updated: August 30, 2008 00:01 EDT