Dallas, Texas 05/05/2014 (FINANCIALSTRENDS) – Frontier Communications Corp (NASDAQ:FTR) may have bought-into $2 billion worth of AT&Tsbusiness, but has apparently lost out on union’s trust. Amidst last minute confirmation that nearly 1,500 jobs of localities would come under the chopper, the Union of AT&T wireline workers of Connecticut will on Friday go on strike.
Frontier Communications Corp (NASDAQ:FTR) has been quick to deny any jobs cuts and has issued a statement, from its Stamford offices: “Frontier has no plans to eliminate jobs in Connecticut. In fact, we are planning to grow our workforce in the state.”
Wireline Worker Trouble
Protracted talks between the executives at Frontier Communications Corp (NASDAQ:FTR) and local union called, Communications Workers of America CWA, Local 1298,on Friday concluded only in altercations.
The union has more than 2,300 workers as members belonging to two work streams. These workers belong to AT&Ts core work stream as well as the U-verse TV plus Internet business of Connecticut region. The key aspect of the union memberships is the fact that many of these workers would soon be part of Frontiers work force.
However, there is major unrest following legacy issues with salaries the workers are being paid as well. The first line of worker elimination is with respect to non-field workers. Those workers who are not directly involved on the field are expected to be removed.
Historically, AT&T has mentioned time and again that for nearly most union members whose job was cut was always offered jobs.
The last worker contract by AT&T had been in 2012, and had been effect nearly 16 months after expiration agreement. However, when AT&T chose to strike a $2billion deal with Frontier Communications, CWA has hired a lawyer as well as economist to help build up their plea.
Frontier has substantiated that part of the services, “approximately 75 percent of AT&T’s call center employees will be in training to learn Frontier’s systemsand once the training has been complete, all Connecticut call volume will return to Connecticut call centers.”