[comp.dcom.telecom] AT&T, Unions Resolve Differences

telecom@eecs.nwu.edu (TELECOM Moderator) (05/29/89)

AT&T and its major unions, the International Brotherhood of Electrical Workers
and the Communications Workers of America, announced agreement on a new
contract Sunday that both sides said provided a radical change in
family care benefits.

A tentative contract was announced late Saturday night, just minutes before
the strike deadline. With the major difference of health care being resolved,
negotiators for both sides agreed to extend the old contract on a day
by day basis, to give them time to resolve several minor issues.

The new three year contract covers 135,000 members of the CWA and 40,000
members of the IBEW, who bargained jointly with AT&T.

CWA President Morton Bahr, speaking on behalf of both unions shortly after
the final agreement was reached, called the new contract 'an unprecedented
breakthrough in labor-management relations with respect to family care.'
AT&T Vice President Raymond Williams agreed, saying, "This contract is the
most progressive ever negotiated by AT&T."

AT&T went into the negotiations April 2 wanting to share some of its health
coverage costs with union members. It said health coverage for employees
was costing one billion dollars per year. The plan finally agreed upon does
not shift any of the cost to employees.

The new agreement also contains innovative provisions on child care
and care for elderly parents, as well as improving pay and profit-sharing
plans.

An AT&T employee is now paid an average of $500 per week. The new contract
will give them a lump sum payment ranging from 4 percent to 8 percent, with
annual increases from 2.25 percent to 3.5 percent, based on skill levels.

Bahr noted that AT&T Chairman Bob Allen had said a company goal was to prove
that a unionized telecommunications firm could compete against non-union
firms, and the agreement was a response to that.

AT&T's two major competitors in the long-distance calling business, MCI
and Sprint are both non-union, as is its rival in computers, International
Business Machines.

The new agreement also provides one-year unpaid leave for newborn or adopted
children and improved benefits for those persons on leave. Only time will
tell what effect all these changes have on rate-payers across the country.
If AT&T can buffer these additional expenses without any impact on the costs
passed along to customers, all well and good. Supposedly, according to
Morton Bahr, they can do so.


Patrick Townson

df@cbnewsh.att.com (david.fischer) (05/31/89)

In article <telecom-v09i0178m01@vector.dallas.tx.us>, telecom@eecs.nwu.edu
(TELECOM Moderator) writes:

> The new agreement also provides one-year unpaid leave for newborn or adopted
> children and improved benefits for those persons on leave.

Gee I think one year is a bit much for a newborn. I say make them come in at
six months, when they can be productive.
:-) :-) :-)
--
the grass aint greener   || Dave Fischer
the wine aint sweeter    || att!hound!dfis
either side of the hill  || or (on arpanet)  dfis@hound.ATT.COM
                         || or various combinations of the above

Moderator's Humble Note:  Touche! That'll teach me to take AT&T news releases
and print them without correcting their grammar and syntax.

Issue 182 will be released in about one hour, with a special report on new
legislation intended to ban the sale of 'beepers' to minors.   PT]