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BellSouth Settlement Brings Job Security Gains, Health Care Protection
Intense negotiations with BellSouth Corp., produced a tentative settlement that achieves CWA's goals of strengthening job security and safeguarding health care for workers and retirees, among other gains. The agreement covers some 46,000 workers in nine states.
The new five-year contract package boosts across the board wages by more than 10.5 percent over the contract term, with an additional 4 percent lump sum this year. It also provides for pension increases of 12.5 percent and team incentive awards, based on BellSouth's profitability, of 12 percent over the contract term. These awards are based on workers' total wages.
CWA District 3 Vice President Jimmy Smith said the CWA bargaining team "worked very hard and successfully accomplished the goals our members set out earlier this year: improving job security, gaining access to new jobs in the growth areas of BellSouth, and of course, maintaining our quality health care for active and retired members."
At a meeting with Smith and the bargaining team, CWA President Morton Bahr said that "in members' struggle with BellSouth, the entire resources of CWA are available to help them win a fair contract."
The first contract year calls for a 1 percent wage increase, plus the 4 percent lump sum payment. Wages will increase 2 percent in 2005, and 2.5 percent in years 2006, 2007 and 2008. Pensions will increase by 3 percent effective July 1, 2005 and 2006, with additional increases of 2.5 percent in 2007, and 2 percent in years 2008 and 2009.
The tentative settlement preserves fully paid health care premiums for active workers and retirees. It includes some increases in health care co-payments for medical services and prescription drugs, but overall, at a much lower level than BellSouth was initially seeking from workers and retirees.
Since June 14, when negotiations got underway, BellSouth had pressed for extensive health care cost shifting to workers and retirees. CWA made it clear to the company that it would work with BellSouth, as it has for decades with major employers, on measures to ensure quality health care and contain costs, but it would not accept the company's demand to shift premium costs to active and retired workers.
BellSouth's second quarter financial report showed a nearly 5 percent increase in profits, continuing a pattern of profitability that produced an increase in net profits of 46.7 percent since 2001 at BellSouth and proving the union's case that the company didn't need to squeeze workers and retirees.
In a breakthrough concerning "jobs of the future," work in Voice over the Internet Protocol (VoIP), Wireless Internet, and Video sales and support now will be performed by bargaining unit members. CWA members already perform most of the DSL installation work; CWA and BellSouth will work together to bring DSL help desk work into the bargaining unit.
In other job security gains, the agreement provides workers with expanded job transfer rights in all represented areas of the company. Part-time workers now will be eligible for the benefits of the Partnership Job Bank, and overall eligibility for the job bank is extended from 34 weeks to a full year, extending medical benefits and priority consideration for jobs to full and part-time workers.
BellSouth members had voted nearly unanimously - by a 97 percent vote - to authorize strike action at the company. This vote, plus an effective mobilization program, sent a clear message to management that CWA members were standing strong behind their bargaining team said Booker Lester, District 3 mobilization coordinator.
Over seven weeks of negotiations, BellSouth members held informational picketing and solidarity actions inside and outside workplaces.
CWAers counted down to contract expiration during "Unity Week," seven days of solidarity actions that included wearing red or black, making sure management got the word about picket line schedules, standing up for five minutes on the job, distributing "I won't cross" signs, and more. As the midnight expiration neared, BellSouth members were holding rallies, making strike signs and getting ready, Lester said.
Heading the common interest table, which bargained the issues covering workers at all units was Noah Savant, assistant to Smith. Other tables included BellSouth Telephone, chaired by Beverly Hicks, administrative assistant to Smith; Utilities and BASC/CORP, chaired by CWA Representative Jerry Keene; BAPCO, chaired by CWA Representative Linda Crawford; and BBI chaired by CWA Representative Jack Baccari.
The new five-year contract package boosts across the board wages by more than 10.5 percent over the contract term, with an additional 4 percent lump sum this year. It also provides for pension increases of 12.5 percent and team incentive awards, based on BellSouth's profitability, of 12 percent over the contract term. These awards are based on workers' total wages.
CWA District 3 Vice President Jimmy Smith said the CWA bargaining team "worked very hard and successfully accomplished the goals our members set out earlier this year: improving job security, gaining access to new jobs in the growth areas of BellSouth, and of course, maintaining our quality health care for active and retired members."
At a meeting with Smith and the bargaining team, CWA President Morton Bahr said that "in members' struggle with BellSouth, the entire resources of CWA are available to help them win a fair contract."
The first contract year calls for a 1 percent wage increase, plus the 4 percent lump sum payment. Wages will increase 2 percent in 2005, and 2.5 percent in years 2006, 2007 and 2008. Pensions will increase by 3 percent effective July 1, 2005 and 2006, with additional increases of 2.5 percent in 2007, and 2 percent in years 2008 and 2009.
The tentative settlement preserves fully paid health care premiums for active workers and retirees. It includes some increases in health care co-payments for medical services and prescription drugs, but overall, at a much lower level than BellSouth was initially seeking from workers and retirees.
Since June 14, when negotiations got underway, BellSouth had pressed for extensive health care cost shifting to workers and retirees. CWA made it clear to the company that it would work with BellSouth, as it has for decades with major employers, on measures to ensure quality health care and contain costs, but it would not accept the company's demand to shift premium costs to active and retired workers.
BellSouth's second quarter financial report showed a nearly 5 percent increase in profits, continuing a pattern of profitability that produced an increase in net profits of 46.7 percent since 2001 at BellSouth and proving the union's case that the company didn't need to squeeze workers and retirees.
In a breakthrough concerning "jobs of the future," work in Voice over the Internet Protocol (VoIP), Wireless Internet, and Video sales and support now will be performed by bargaining unit members. CWA members already perform most of the DSL installation work; CWA and BellSouth will work together to bring DSL help desk work into the bargaining unit.
In other job security gains, the agreement provides workers with expanded job transfer rights in all represented areas of the company. Part-time workers now will be eligible for the benefits of the Partnership Job Bank, and overall eligibility for the job bank is extended from 34 weeks to a full year, extending medical benefits and priority consideration for jobs to full and part-time workers.
BellSouth members had voted nearly unanimously - by a 97 percent vote - to authorize strike action at the company. This vote, plus an effective mobilization program, sent a clear message to management that CWA members were standing strong behind their bargaining team said Booker Lester, District 3 mobilization coordinator.
Over seven weeks of negotiations, BellSouth members held informational picketing and solidarity actions inside and outside workplaces.
CWAers counted down to contract expiration during "Unity Week," seven days of solidarity actions that included wearing red or black, making sure management got the word about picket line schedules, standing up for five minutes on the job, distributing "I won't cross" signs, and more. As the midnight expiration neared, BellSouth members were holding rallies, making strike signs and getting ready, Lester said.
Heading the common interest table, which bargained the issues covering workers at all units was Noah Savant, assistant to Smith. Other tables included BellSouth Telephone, chaired by Beverly Hicks, administrative assistant to Smith; Utilities and BASC/CORP, chaired by CWA Representative Jerry Keene; BAPCO, chaired by CWA Representative Linda Crawford; and BBI chaired by CWA Representative Jack Baccari.