Union members at aircraft maker Boeing have been urged to reject the new contracts being offered by the company and to strike in protest.

The union representing commercial jet-manufacturers - the International Association of Machinists and Aerospace workers (IAM) - says the latest contracts offer little job security and poor benefits.

The IAM has about 26,000 Boeing members, representing almost a third of the jet-making division.

It says they should walk out when their current contracts expire at midnight on Monday.

But some market watchers have suggested a strike would have little effect in such a weak aviation market.

Poorer conditions

IAM members will vote on Thursday whether to accept Boeing's new contracts.

Boeing put forward a job-killing, money-stealing, benefit slashing offer

Dick Schneider, IMA chief negotiator

The union claims the new contract reduces the rights of workers who are made redundant and that the pension offer is "a calculated insult".

The IAM wants Boeing to guarantee a minimum number of machine staff for each new plane it makes.

It also wants pensions to represent 80% of a member's working income, against the 38% being offered by Boeing.

IAM's chief negotiator Dick Schneider said: "Boeing put forward a job-killing, money-stealing, benefit slashing offer".

Tough tactics

But Boeing is refuting many of the demands because of the tough conditions facing the aircraft industry.

Alan Mulally, head of Boeing's commercial aircraft division, said "We can't guarantee jobs when the airlines don't guarantee they'll buy planes or that they'll choose Boeing planes".

Boeing has offered a bonus of 8% , followed by a 2% wage increase next year and 2.5% in 2004.

The IAM says their members' benefits pale into significance compared to those enjoyed by top executives.

If the union votes in favour of a strike, it will not be the first time. In 1995, IAM members went on strike for 69 days and 90% of the current members were involved.

However, this time there is a very different market environment, with the fall in airline traffic prompting fewer orders.

A strike under these conditions will have a much weaker effect.