AT&T was unable to reach a settlement with the Communications Workers of America by the April 7th deadline to extend Four Core Wireline contracts. More than 40,000 employees will continue to work under the terms of the expired contract, however, as negotiations between the two parties continue. “The ongoing negotiation reflects the spirit of the longstanding relationship between the company and the union,” AT&T said. The carrier is looking to reduce worker benefits to cut costs in its wireline business, which has declined rapidly in recent years. The workers union has said that AT&T is seeking too many concessions, however, and instead wants the company to make adjustments to workers’ healthcare plans. The Communications Worker of America represents nearly 16% of AT&T’s 256,000 workers and it does possess the ability to call a strike if agreements on new contracts are not reached. AT&T’s press release follows below.
AT&T, Communications Workers of America Agree to Continue Negotiations as Four Core Wireline Contracts Expire
DALLAS, April 8, 2012 /PRNewswire/ — AT&T* today announced that while a settlement was not reached with the Communications Workers of America by the April 7 expiration of four Core Wireline contracts covering nearly 40,000 employees, the parties have agreed to continue to negotiate.
The ongoing negotiation reflects the spirit of the longstanding relationship between the company and the union. Employees will work under the terms of the expired contract while negotiations continue.
The contracts are East, Legacy T, Midwest and West. The East contract covers more than 3,000 employees in Connecticut. The Legacy T contract covers nearly 6,000 employees spread across the country. The Midwest contract covers nearly 13,000 employees in Illinois, Indiana, Michigan, Ohio and Wisconsin. The West contract covers more than 17,000 employees in California and Nevada.
More information will be posted on http://www.att.com/corewirelinebargaining as it is available.