Former Verizon Contract Extended at FairPoint

A contract extension with FairPoint Communications covering 3,000 CWA and IBEW-represented workers in Northern New England – formerly Verizon employees – is highlighted by job security and contract successorship protections along with wage and benefit gains.

The unions earlier had campaigned to keep Verizon from selling its access lines in Maine, New Hampshire and Vermont, but succeeded in getting Verizon to reduce its sale price by $362 million to help FairPoint's financial position, and to win a stronger commitment from both companies to maintain and improve service, including high-speed Internet rollout.

CWA's 350 workers at the company are represented by Local 1400. The 5-year agreement provides annual 3 percent across-the-board wage increases, protects workers' job security, increases pension bands by 11 percent over the contract term and preserves health coverage with fully paid premiums for all active workers and retirees.  Cost of living adjustment language from the previous contract was retained, providing for adjustments in the final two years if certain conditions are met.

A successorship agreement "keeps the contract in place in the event that FairPoint chooses to follow Verizon's path and sell a significant portion of their assets in the northern states," negotiators reported.  Job security language prohibits FairPoint from moving jobs outside of the bargaining unit.

District 1 Vice President Chris Shelton said the workers are happy with the agreement, noting that 98 percent approved ratification, and said that the future "looks bright for telecommunications in northern New England."