AT&T employees represented by the Communications Workers of America (CWA) union have worked out grievance and unfair labor issues.
Verizon's wireline workers represented by the Communications Workers of America and the International Brotherhood of Electrical Workers voted to approve four-year contracts, officially ending a 45-day strike by about 40,000 workers.
Verizon and the around 36,000 CWA and IBEW workers were able to reach new terms and tentatively end the strike on May 30. But Jefferies analysts anticipate the new deal with union members could impact fiscal 2016 for the telecom giant.
Verizon just ended a long and painful labor conflict with the trade unions that represent its landline employees. The four-year labor deal gives the management team under CEO Lowell McAdam time to re-assess the situation and take action as the company undertakes the massive transformation from telecom company to wireless internet company. The dramatic nature of this transformation is demonstrated by the fact that Verizon's wireline business represents 29% of its topline revenues and only 7% of operating income.
Verizon's wireline workers represented by the Communications Workers of America and the International Brotherhood of Electrical Workers will return to work on Wednesday, June 1 after reaching a tentative agreement with the company on Friday.
Verizon's striking workers represented by the CWA and IBEW unions have been accused by the National Labor Relations Board of harassing replacement workers at hotels in Massachusetts, New Hampshire and Rhode Island.
Verizon and the wireline workers represented by the CWA and IBEW unions that came back to the negotiating table yesterday have sought the assistance of a federal mediator to sort out issues.
Verizon said its ongoing tests of 5G network technology have been unaffected by the ongoing strike of roughly 40,000 of its unionized employees, who mainly work on the carrier's wireline network.
Verizon has seen fiber cuts on its Northeast wireline network spike, leaving many customers without service amidst a contentious labor strike of its nearly 40,000 person union workforce.
An XO Communications executive's statement that Verizon's wireline worker strike, which is now in its fourth week, is delaying the carrier's pending acquisition of XO's fiber network, is not the case and was "taken out of context," a spokesperson said.