
Issue No 68		25 August 2000

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International

Massive Union Win in American Telecom

By Chris Owen

The Communications Workers of America (CWA) announced on Thursday a settlement with Verizon Communications ending a fifteen day strike by 87,000 telephone workers from Maine to Virginia.

The new contract package protects customer service employees and technicians from forced overtime-a key issue in the walkout. It also achieves the union's major job security goals, including sharp limits on the transfer of work as a result of the GTE-Bell Atlantic merger that created Verizon.

CWA President Morton Bahr said "This settlement secures the future for our members at this company and it also helps sharpen Verizon's competitive edge. The men and women we represent are the human face of Verizon, the people who deal directly with the customers every day. This agreement assures Verizon the advantage of a stable workforce of the most highly skilled and experienced people, and in many ways it gives our members the ability to do their jobs even better."

The agreement cuts the number of hours that customer service employees can be forced to work overtime from 15 hours per week at present to only 7- � hours effective immediately. And, addressing worker complaints of last-minute overtime assignments, a particular burden for parents, it provides at least 2- � hours' notice if overtime work is required.

For technicians, operators and others who currently can be forced to work up to 15 overtime hours a week, mandatory overtime will be capped at 10 hours a week immediately, dropping to 8 hours in January 2001.

Needlessly stressful conditions for customer service reps and operators were among other major CWA issues. The settlement calls for customer service employees to receive 30 minutes of off-line time per shift in which workers can be off the phones to process customer orders and requests. And it includes provisions to relieve the intensity of monitoring for both operators and service reps.

The compensation package provides general wage hikes of 12 percent over three years.

The movement of work is restricted to no more than 0.7 percent per year in defined bargaining units. In addition, Verizon agreed to guarantee no layoffs, no downgrades, and no forced transfer of workers.

Among other job security gains, the agreement reduces the amount of work that is being subcontracted and assures that union members will perform all installation and maintenance work involving high-speed digital access lines (DSL) to the Internet. The agreement also restores substantial amounts of DSL and other customer service work that had been contracted out.

Also, maintenance work that had been performed by a lower wage subsidiary company (BACCSI) was returned to the bargaining units.

At Verizon Wireless, the company agreed to allow employees to conduct union organizing drives in a neutral atmosphere, free of anti-union coercion by managers, and to recognize the union when at least 55 percent of employees in a work location have signed cards showing they want representation. The agreement covers non-management employees including those in the Wireless stores.

At a Glance what was won at Verizon

A 12 percent increase in wages over the life of the three-year contracts. Customer service representatives will receive an additional 4 percent wage increase effective immediately.
An effort by the company to reduce required overtime over the next year to about 8 hours per week for technicians.
Bonuses of up to 10 percent for workers meeting higher service and performance standards.
All union-covered employees will get by year's end options for purchasing 100 shares of Verizon stock.
Greater access for unions workers to jobs in the company's high-speed Internet business.
A limit of 0.7 percent on the number of jobs in any region that can be moved to another area in a year. Unions had feared that Verizon would shift work to areas of cheaper labor within its recently expanded territories.
Pensions will be increased by 14 percent over the contract term:
Corporate profit sharing plan with maximum payout of $1,000 a year, a grant of 100 Verizon stock options to each full time employee and 50 options for part-timers, and a team-based incentive pay plan of up to 10 percent of wages.
A bilingual differential of 3 � percent is extended to all workers required to use a second language and a cost-of-living escalator provision was agreed to, protecting wages in the event that future inflation levels top 9 percent over a two-year period.
Extended health coverage for spouses of active and retired workers.

What They're Saying

"One of the most wide-reaching contract settlements the industry has seen" (New York Times)

"A major, major accomplishment for the unions" (Boston Globe)

"Mandatory overtime is one of the most important issues in American workplaces today" (Boston Globe)

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Issue 68 contents

Interview: New Unionist
Britain's Trade Union Congress secretary John Monks on life under Blair and why the future of unionism could well rest in Europe.

History: The Victims of Whiggery
George Loveless, the leader of the rural workers who became the Tolpuddle Martyrs, recorded his ideals and experiences in a pamphlet that brings his story to life.

Economics: The Final Station
Corporatisation was first introduced into Australia by the former Greiner Coalition government. What is 'corporatisation' and who should we hold to account under its prescriptions?

International: Massive Union Win in American Telecom
The Communications Workers of America (CWA) announced on Thursday a settlement with Verizon Communications ending a fifteen day strike by 87,000 telephone workers from Maine to Virginia.

Unions: A Vital Community Service
What keeps the engine of the Australian economy running? Manufacturing productivity, the stock market, exports? Try child care.

Satire: Putin copies Clinton: dead seamen stains reputation
MOSCOW, Tuesday: Russian naval authorities today faced staunch criticism, and the anger of a nation gripped by tragedy, as they conceded that all 118 Russian submariners trapped in the nuclear submarine, the Kursk, had died.

Review: Blow Up The Pokies
Whether it arouses public debate about Gambling is best left to the public but Peter Zangarri thinks Tim Freedman is on a winner with the Whitlam's latest CD.

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