Efforts launched to keep Boeing in Washington
Spokane hoping to lure some of the work to Eastern Washington
RENTON, Wash. — The competition to build Boeing’s next airplane and keep nearly 80,000 jobs in the state is Washington’s contest to lose, Gov. Chris Gregoire and her economic advisers said Wednesday.
An outside study found Washington has an advantage over other states competing to assemble the 737 MAX, because existing workers and assembly lines can be put to work on the new plane. But other factors — those outside the reach of government such as labor contracts — could lead Boeing toward a different choice.
Boeing announced in August it would put new engines on the 737 to improve fuel efficiency and compete with the Airbus A320neo. Boeing is expected to announce next year where the MAX will be assembled.
Gregoire said assembling the 737 is likely to be the largest manufacturing contract in the world for at least a decade and Washington must win that contract and keep and grow aerospace jobs in Washington state.
Spokane-area leaders are trying to lure at least a portion of the potential manufacturing base to Eastern Washington, and are contemplating zoning changes on the West Plains in an effort to make that area more attractive to airline manufacturing.
The report from management consulting firm Accenture on Washington’s aerospace competitiveness found the state would beat Texas and Kansas to build the new 737, but that Washington was not significantly ahead in the race.
Washington wins because of its experienced workers. But the state’s higher pay and possible work stoppages because of labor disputes work against it, according to the study.
Texas offers financial enticements for aerospace companies, produces more engineers than Washington and is training workers for aerospace jobs, beginning in high school.
Kansas also has an experienced aerospace workforce but low unemployment could be a problem for Boeing, the report said. Kansas, Texas and Washington all received similar marks in a comparison chart, which also rated the competitiveness of Alabama, California, Florida, New Mexico, North Caroline and South Carolina.
The cost of building new facilities in other states gives Washington a big advantage, said Craig Gottlieb, senior manager at Accenture. But if Boeing decides it needs to build a new facility to assemble the 737 MAX, then Washington loses some of its competitive advantage.
“It’s our job to make sure we are taking nothing for granted,” Gregoire said, in proposing nearly $10 million in new state spending to put Washington in the best position for keeping the 737 in this state.
The proposals made at a news conference at Renton Technical College are based on what she learned from the Accenture report, which was paid for by Washington businesses that want to keep Boeing building airplanes in Washington.
- $7.6 million for the University of Washington and Washington State University to enroll 775 more engineering students.
- $1.5 million toward aerospace research at the UW and WSU.
- $450,000 to provide 12 high schools with aerospace curriculum support.
- $250,000 to add courses at 10 high schools for problem-solving using science, technology, engineering and math skills.