A regional district of the International Association of Machinists and Aerospace Workers said late Friday that Boeing “would not engage substantively” on a demand for higher pay.

Boeing's union has the aerospace company over a barrel. Boeing can afford to raise wages but only at the cost of a big cut in profits.

Amid a union strike over a pay dispute, Boeing has made what it describes as its "best and final offer" to roughly 33,000 striking union machinists, intensifying efforts to end the strike, which has entered its second week.