CWA, Frontier Communications reach agreement
The Communications Workers of America (CWA) Districts 9 and 6 reached agreements with Frontier Communications as the company finalizes its acquisition of Verizon’s wireline assets in California, Texas, and Florida. Frontier has agreed to extend current collective bargaining agreements, add more than 200 new union jobs in California, Texas, and Missouri, and has committed to employ a 100% US-based workforce.
The following statement from the Communications Workers of America offers the details of the agreements:
Norwalk, Conn. – Frontier Communications Corporation (NASDAQ: FTR) and the Communications Workers of America District 9 (CWA) are pleased to announce the signing of an agreement that will benefit CWA-represented employees and Frontier’s future customers in California. The agreement is an important step forward in the process to complete Frontier’s planned acquisition of Verizon’s wireline business assets in California. The CWA, representing approximately 3,400 Verizon employees in California, supports the proposed acquisition and believes approval of this transaction is in the public and employees’ interest.
Under the agreement, and after the transaction closes in the first half of 2016, Frontier will increase its workforce in California with at least 150 new, union-represented positions. The agreement also provides for new customer service jobs in California.
Frontier and the CWA have agreed to partner to bring the best possible products and services to California. By ensuring the workforce has a clear picture of how the acquisition will affect employees, these dedicated men and women can continue focusing on delivering state-of-the-art broadband, voice and video services to residential and business customers.
Frontier has agreed to honor and extend current collective bargaining agreements. Highlights of the agreement include:
· The addition of 150 new union jobs in California;
· Employee job security and guaranteed workforce size;
· Extend the existing contract for two years with wage increases in each year;
· Operational flexibility to enhance the service experience for customers;
· All union employees will receive 100 shares of Frontier restricted stock upon the closing of the transaction to demonstrate Frontier’s commitment to its newest employees and their ownership in the company’s success; and
· Frontier commits to a 100% U.S.-based workforce
As part of this agreement, Frontier and the CWA will form a Partnership Forum that will promote innovation of Frontier’s products and services and the service experience our customers receive. All commitments by Frontier are designed to ensure the workforce stays highly motivated and trained to deliver the best possible service to its future customers in California.
“All discussions with the CWA about the Verizon acquisition have been open and productive,” said Daniel J. McCarthy, President and Chief Executive Officer of Frontier. “Our success in the highly competitive California workplace is dependent on the partnership with our CWA- represented employees. Every day, employees bring their service commitment to the workplace and that commitment will enable Frontier to deliver on our core promise to ‘Put the Customer First.’ We’re extremely pleased the CWA has agreed to support us as we move forward in California. We plan to build on this partnership over the months and years ahead as we continue to invest in people and infrastructure across the state.”
Tom Runnion, Vice President of CWA District 9, said, “After several sessions of intense negotiations, we have reached an agreement that’s in the best interests of telecommunications workers and consumers in California. As we move forward in this partnership with Frontier, CWA members will continue to provide customers with the quality service they expect and deserve.”
The agreement between Frontier and CWA is contingent upon the consummation of the proposed transaction, which requires approval by the Federal Communications Commission (FCC) and California Public Utilities Commission (CPUC).
CWA, Frontier Communications Reach Agreement in California (CWA, July 27, 2015)
Frontier Communications and Communications Workers of America Reach Agreement in Texas and Missouri (Frontier, July 31, 2015)
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