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AT&T-Lumen deal raises serious concerns for CWA members

Lumen Technologies (formerly CenturyLink) intends to sell its residential fiber network to AT&T. Lumen would continue to own the copper network that CWA members built and still maintain, along with the central offices, poles, and backbone fiber for the company’s Enterprise segment. The more profitable fiber network, also built and maintained by CWA members, would be transferred to a new subsidiary that AT&T is calling “NetworkCo.” The subsidiary will then be partially sold to an as-yet-unnamed private equity partner. The structure of this transaction raises serious concerns for Lumen’s workers and customers.

Two years ago, AT&T launched a similar subsidiary, called Gigapower, which began operating in several markets. A CWA review of Gigapower’s deployment found that instead of hiring trained, experienced workers, AT&T’s Gigapower relies heavily on multi-tiered subcontracting and temporary staffing agencies. This low-road business model has put public safety at risk. In two cities—Mesa, Ariz., and Bloomington, Minn.—Gigapower contractors have been responsible for nearly 450 incidents of damage to the public right-of-way, and dozens of preventable underground utility hits.

Last month, CWA District 7 Vice President Susie McAllister hosted a virtual townhall meeting so CWA-represented Lumen workers and retirees could learn more about the proposed sale of Lumen’s residential fiber network to AT&T. In her opening remarks, VP McAllister provided an overview of what is known about the backroom deal and the importance of mobilization to make sure the deal works for Lumen’s workers and customers.

Speakers also included CWA President Claude Cummings Jr., CWA District 7 Assistant to the Vice President and Bargaining Agent for the Legacy Qwest Contract Lisa Avila, CWA District 7 Administrative Director and Co-Chair for Lumen Bargaining Paul Castaneda, and CWA-represented Lumen workers including Jake Williams, 22-year veteran Qwest worker Val Packer, President of Local 7026 Luis Gutierrez, and CWA Local 7704 Area Vice President for Utah Jeremy Dill.

“More and more of our employers want to operate with as few employees as possible. Just like AT&T, they want to go into partnership with private equity firms, take as much money out of the company as possible, and hand it to shareholders instead of paying workers and investing in their product. Whether it is through contracting out or handing things over to AI, we are seeing it everywhere, in every industry,” said CWA President Claude Cummings Jr. “What is absolutely clear is that our collective bargaining agreements must be respected. That’s the bottom line here. We will use all the tools we have to make sure Lumen workers and retirees are protected.”

Links:

AT&T-Lumen deal raises serious concerns for CWA members (CWA, May 29, 2025)

Lumen members and retirees get the facts about the proposed AT&T acquisition (CWA, June 12, 2025)

CWA exposes how AT&T’s dangerous Gigapower business model undermines good jobs and public safety in Arizona (Speed Matters, Nov. 23, 2024)