Thousands of Boeing workers went on strike on Friday, marking the first walkout at the company since 2008. The strike comes after the union members overwhelmingly rejected a contract negotiated by their union, the International Association of Machinists and Aerospace Workers. This strike poses a costly disruption to the aerospace giant as it attempts to recover from a series of safety crises.

The strike, expected to bring operations to a halt in the Seattle area where most of Boeing's commercial plane manufacturing occurs, could also have ripple effects in the company's supply chain. With almost half of its employees in Washington State and being one of the nation's largest exporters, Boeing's role in the U.S. economy is substantial.

Boeing's stock took a hit, dropping over 3 percent on Friday afternoon and falling nearly 40 percent this year. The company's debt rating is also at risk. Brian West, Boeing's CFO, expressed concerns that the strike would impact production, deliveries, and operations, ultimately jeopardizing the company's recovery.

Union leaders and company management had tentatively agreed on a contract, which the union considered "the best contract we've negotiated in our history." However, it fell short of the union's initial demands, including larger raises, and was rejected by 95 percent of the membership.

The strike affects a vast majority of the 33,000 workers represented by the machinists' union, with most of them working on commercial airplanes in the Seattle area. The dispute also involves workers in the Portland area. The union represents approximately one-fifth of Boeing's global workforce.

The strike is primarily driven by a desire for respect, addressing past grievances, and fighting for a better future, according to Jon Holden, the president of District 751. Union leaders had recommended approving the proposed contract, fearing that a strike might yield worse outcomes. Boeing's new CEO, Kelly Ortberg, had urged employees to approve the deal, emphasizing the potential negative impact of a strike on the company's recovery and customer relationships.

Moody's ratings firm has put Boeing under review for a potential downgrade, citing the strike's potential impact. If the strike lasts a similar duration to the 2008 strike, estimated at 50 days, it would cost the company at least $3 billion. Jefferies, an investment bank, calculated that Boeing would face a financial hit of $1.3 billion each month of the strike.

Boeing operates large factories in Renton and Everett in the Seattle area, with the Max being its most popular model. However, production at the Renton factory has been slowed due to quality improvements following an incident where a panel fell off a Max aircraft. The rejection of the proposed contract reflects workers' resentment over past concessions, including the loss of pension benefits and the decision to consolidate Dreamliner production in a non-union factory in South Carolina.

Amidst these challenges, workers may feel empowered as they seek to address concerns about the quality and safety of Boeing's planes. The company has been working to rebuild trust with regulators and improve its financial position, including the reduction of its significant debt.

As negotiations continue, the duration and outcome of the strike remain uncertain. The impact on Boeing's recovery, reputation, and financial standing will be closely monitored by industry observers and stakeholders.