CWA: Survey Provides More Evidence that Telecom Customer Service Likely to Decline if FairPoint Deal

Contact: Jeff Miller or Candice Johnson, CWA Communications, 202-434-1168 

Majority of workforce gives serious consideration to leaving company if transaction goes forward, survey finds.

Montpelier, Vermont -- A new survey of Verizon communications workers who serve customers in Maine, New Hampshire and Vermont demonstrates that service quality will suffer if the proposed sale of Verizon lines to FairPoint Communications goes forward.

The survey shows a significant risk that more than half of all current workers, and 80 percent of those most experienced, are seriously considering leaving the company if the sale is approved by regulators and FairPoint takes over Verizon's operations.

Such a loss of skilled, experienced workers would have a devastating effect on service quality to customers in the three-state region.

The results of this survey were presented to the Vermont Public Service Board today to directly refute statements by FairPoint that it will have the resources needed to improve service quality, maintain plant, and increase workforce levels if it takes over the significantly larger Verizon operations.

CWA Research Economist Kenneth R. Peres outlined the survey findings, conducted for CWA and the International Brotherhood of Electrical Workers, which represent 2,500 Verizon workers in Vermont, Maine and New Hampshire.        

Some 1,026 responses were received, representing more than 40 percent of the represented workforce and a statistically significant return.

Fifty-six percent of all respondents stated that they would seriously consider leaving the company if the transaction was approved. Only 7 percent would seriously consider leaving the company if the transaction was not approved, indicating that 49 percent of those surveyed, or 504 workers, are seriously considering leaving the company solely because of the transaction and its likely effect on their pensions, health care and other working conditions.

Of those who are pension eligible – and the most experienced – 80 percent are seriously considering retirement if the transaction is approved; only 12 percent would consider retirement if the transaction is not approved.

Extending these survey results to the rest of the represented workers in the three states indicates that more than 1,200 workers currently employed by Verizon are seriously considering leaving the company if the transaction is approved including 200 workers in Vermont; 550 workers in Maine, and 500 workers in New Hampshire.

"Workers stated that they are very concerned about FairPoint's ability to continue to provide a defined benefit pension plan and retiree health benefits such as workers now have with Verizon. Some workers cited the fact that current FairPoint workers have neither a defined benefit pension plan nor retiree health benefits," Peres said.

Survey respondents also outlined their concerns that FairPoint lacks adequate resources to maintain and upgrade plant facilities, provide quality customer service and offer customers the services they want thus jeopardizing job security.

"The magnitude of the response and the comments made concerning FairPoint indicate a strong possibility that many workers will leave if the transaction is approved," Peres stated.

FairPoint has stated that it "intends" to hire more workers but has refused to make any enforceable commitments. FairPoint also has refused "to provide specific commitments on wages, benefits, working conditions, service quality and financial viability. Instead, management has relied on vague promises," Peres told the PSB. The survey's results clearly indicate that FairPoint may be hard pressed to maintain its current staffing levels, much less hire additional workers.

CWA maintains that the best way to protect consumers in the three-state region is for the PSB to reject the proposed transaction between Verizon and FairPoint. If the PSB believes that FairPoint’s severe financial deficiencies can be overcome, the Board should adopt strict service quality standards, benchmarks and penalty/rebates as conditions of any merger approval, Peres said. “These service quality conditions are especially important given the probable exodus of experienced workers,” he added.