About 33,000 members of the International Association of Machinists and Aerospace Workers (IAM), who produce Boeing's top-selling 737 MAX and other jets in Seattle and Portland, began a strike on Friday after 94% of workers voting down a new contract, Reuters reports.

Demanding higher wages and a better pension, workers appeared ready for an extended strike - the first at the company in 16 years, union leader Jon Holden said.

“A long strike could further damage Boeing's finances, already groaning due to a $60 billion debt pile,” Reuters reports.

Boeing has lost $27 billion since 2019 due to a series of crises, including the deaths of 346 people from two similar crashes of its 737 MAX jet in less than five months. The aerospace giant’s stock price has dropped 38% so far this year.

Pausing plane production would also weigh on airlines that fly Boeing jets and 10,000 suppliers in all 50 states that manufacture parts, including fasteners.

Company and union officials are scheduled to continue negotiations next week overseen by federal mediators.