AT&T and union talks continue past deadline (Update)

April 4, 2009

(AP) -- AT&T and unions for its landline workers were working past a strike deadline early Sunday to try to reach agreement on a new contract.

Core wireline contracts across the country expired at 11:59 p.m. Saturday, but union-represented employees covered by those contracts continued to work under the old agreements, according to a statement issued by AT&T.

The two sides are still far apart but union members in the East will continue to report to work for now, said Candice Johnson, spokeswoman for the Communications Workers of America.

"The CWA bargaining teams are very frustrated by AT&T's slow pace in negotiations," Johnson said late Saturday.

AT&T stands ready to negotiate at any time in a continuing effort to reach an agreement, company spokesman Walt Sharp said.

AT&T is the most heavily unionized company in the U.S., with either 112,500 CWA workers (according to the company) or 125,000 (according to the union).

The company has said a strike won't disrupt phone service because managers and contractors can keep the operation running. When this batch of contracts expired five years ago, workers struck for four days before reaching an agreement.

One key issue is the Dallas-based company's attempt to have workers and retirees pay more of the costs of their health care. The company has said it spends $5.5 billion per year to subsidize health care for 1.2 million people, including workers, retirees, and dependents.

The company said other remaining issues include wages, pensions, and work rules.

Contracts for workers in five units were each expiring at 11:59 p.m. local time in their region. Each region was bargaining separately. That means some could make a deal while others strike, Johnson said.

The units include a national group as well as workers in the Northeast, Midwest, Southwest, and West. The talks were taking place in New Haven, Conn.; Oakton, Va.; the Chicago area; Austin, Texas; and San Francisco.

An update posted Saturday by the unit that covers Midwestern workers said the company was offering "modest wage increases that would likely have our standard of living move backward over the life of the contract." AT&T also wants to reduce the value of lump-sum pension payments and eliminate the pension for new workers, the union said.

AT&T "told us that the benefits/pension proposal was a 'final offer.' They are either not serious about the word 'final' or not serious about getting a contract," the union wrote.

Workers in the Southeast, who were bargaining in Atlanta, agreed to stop negotiations and reconvene this summer. Their contract doesn't expire until August so they can't strike at midnight, the company said.

The employees covered by the expiring contracts work for the part of the company that is shrinking. AT&T's traditional wired phone business fell 3.3 percent to $17.1 billion last year, while wireless revenue grew 13 percent to $12.9 billion as customers continued to defect to cable phone services or dropped their landlines in favor of mobile phones.

AT&T earned a $12.9 billion profit for the year, up from $12 billion in 2007. Its fourth-quarter profit fell 24 percent from the prior year, though, paradoxically because of its success in selling more of Apple's iPhones than expected. AT&T subsidizes the upfront expense of the iPhone, aiming to make the money back over the two-year service contract.

©2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


Rank 3 /5 (2 votes)
Tags

Related Stories
Relevant PhysicsForums posts
  • How to tilt a object
    created6 hours ago
  • How to calculate total compressibility in liquid porous solid system
    created11 hours ago
  • Need help reading 3-D
    createdFeb 11, 2012
  • A way to send and receive wireless data
    createdFeb 11, 2012
  • Calling function with no input argument
    createdFeb 10, 2012
  • Force free body diagram problem on gym equipment
    createdFeb 10, 2012
  • More from Physics Forums - General Engineering

More news stories

Google might launch Drive for cloud storage soon

(PhysOrg.com) -- Google's next big move, according to the Wall Street Journal, is a cloud storage service called Drive. Hardly first to the plate, Google is simply catching up to introducing its cloud reposi ...

Technology / Internet

created 19 hours ago | popularity 4.8 / 5 (5) | comments 5 | with audio podcast report

Iran blocks email, restricts net access: reports

Iran has further restricted access to the Internet and blocked popular email services for the past few days, in a move a top lawmaker said could "cost the regime dearly," media reports said on Sunday.

Technology / Internet

created 12 hours ago | popularity 5 / 5 (2) | comments 5

Walney offshore wind farm is world's biggest (for now)

(PhysOrg.com) -- The Walney wind farm on the Irish Sea--characterized by high tides, waves and windy weather--officially opened this week. The farm is treated in the press as a very big deal as the Walney ...

Technology / Energy & Green Tech

created Feb 11, 2012 | popularity 4.1 / 5 (14) | comments 59 | with audio podcast weblog

Navy to begin tests on electromagnetic railgun prototype launcher

The Office of Naval Research (ONR)'s Electromagnetic (EM) Railgun program will take an important step forward in the coming weeks when the first industry railgun prototype launcher is tested at a facility ...

Technology / Engineering

created Feb 06, 2012 | popularity 4.6 / 5 (20) | comments 95 | with audio podcast

New power source discovered

(PhysOrg.com) -- Researchers at the Massachusetts Institute of Technology (MIT) and RMIT University have made a breakthrough in energy storage and power generation.

Technology / Energy & Green Tech

created Feb 10, 2012 | popularity 4.6 / 5 (52) | comments 51 | with audio podcast


Scientists discover molecular secrets of 2,000-year-old Chinese herbal remedy

For roughly two thousand years, Chinese herbalists have treated Malaria using a root extract, commonly known as Chang Shan, from a type of hydrangea that grows in Tibet and Nepal. More recent studies suggest that halofuginone, ...

New method to examine batteries -- MRI from the inside

There is an ever-increasing need for advanced batteries for portable electronics, such as phones, cameras, and music players, but also to power electric vehicles and to facilitate the distribution and storage of energy derived ...

A mitosis mystery solved: How chromosomes align perfectly in a dividing cell

Although the process of mitotic cell division has been studied intensely for more than 50 years, Whitehead Institute researchers have only now solved the mystery of how cells correctly align their chromosomes during symmetric ...

Lab study raises questions over nano-particle impact

Tests involving chickens have raised questions about the impact on health from engineered nano-particles, the ultra-fine grains commonly used in drugs and processed foods, scientists said on Sunday.

Starve a virus, feed a cure? Findings show how some cells protect themselves against HIV

A protein that protects some of our immune cells from the most common and virulent form of HIV works by starving the virus of the molecular building blocks that it needs to replicate, according to research published online ...

Researchers find extensive RNA editing in human transcriptome

In a new study published online in Nature Biotechnology, researchers from BGI, the world's largest genomics organization, reported the evidence of extensive RNA editing in a human cell line by analysis of RNA-seq data, demons ...