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Unlikely Partnership Wins Telecom Fight in U.S. Senate
CWA and the AFL-CIO formed an unusual, if temporary, alliance with the U.S. Chamber of Commerce recently to successfully block a legislative proposal that would have unfairly restricted investment in the U.S. telecommunications industry, denying U.S. consumers and workers the benefits of a quality competitor.
A proposal attached to the Senate’s Commerce-State-Justice appropriations bill would have prohibited investment in U.S. telecommunications firms by foreign-owned companies with a government ownership exceeding 25 percent. The measure — aimed primarily at blocking Deutsche Telekom’s bid to join forces with VoiceStream Wireless Corp. — was dropped from the final funding bill.
The campaign included a news conference on Capitol Hill and a joint newspaper ad in which the three organizations pressed their point that the proposal would move the United States “in the wrong direction at a time when global expansion in telecommunications is fueling enormous economic growth and competitive benefits for consumers.” Earlier, CWA President Morton Bahr testified on the issue before the House Telecommunications Subcommittee.
Bahr stressed that all firms that want to do business in the United States should meet high standards for the delivery of quality, universal service, contribute to building the nation’s communications network through investment and growth and have employment practices that reflect respect for workers’ rights.
“Deutsche Telekom is a good employer and a good corporate citizen. It’s a company that has sustained a positive relationship with its union workforce and that could teach U.S. companies a lesson about how to treat workers and how to treat their unions,” he said.
Bahr also pointed out that the German government — which would own about 44 percent of the company if the VoiceStream deal goes through — is committed to full privatization of Deutsche Telekom.
Because the telecommunications industry is already global, said AFL-CIO President John J. Sweeney, “U.S. lawmakers should focus on assuring that consumers, business and workers harvest the best from the dynamic growth and competition in today’s economy.”
Thomas Donohue, president of the Chamber of Commerce agreed, noting that the proposed merger of Deutsche Telekom and VoiceStream would provide “better technology, better service, better consumer demand and better worker opportunities.”
A proposal attached to the Senate’s Commerce-State-Justice appropriations bill would have prohibited investment in U.S. telecommunications firms by foreign-owned companies with a government ownership exceeding 25 percent. The measure — aimed primarily at blocking Deutsche Telekom’s bid to join forces with VoiceStream Wireless Corp. — was dropped from the final funding bill.
The campaign included a news conference on Capitol Hill and a joint newspaper ad in which the three organizations pressed their point that the proposal would move the United States “in the wrong direction at a time when global expansion in telecommunications is fueling enormous economic growth and competitive benefits for consumers.” Earlier, CWA President Morton Bahr testified on the issue before the House Telecommunications Subcommittee.
Bahr stressed that all firms that want to do business in the United States should meet high standards for the delivery of quality, universal service, contribute to building the nation’s communications network through investment and growth and have employment practices that reflect respect for workers’ rights.
“Deutsche Telekom is a good employer and a good corporate citizen. It’s a company that has sustained a positive relationship with its union workforce and that could teach U.S. companies a lesson about how to treat workers and how to treat their unions,” he said.
Bahr also pointed out that the German government — which would own about 44 percent of the company if the VoiceStream deal goes through — is committed to full privatization of Deutsche Telekom.
Because the telecommunications industry is already global, said AFL-CIO President John J. Sweeney, “U.S. lawmakers should focus on assuring that consumers, business and workers harvest the best from the dynamic growth and competition in today’s economy.”
Thomas Donohue, president of the Chamber of Commerce agreed, noting that the proposed merger of Deutsche Telekom and VoiceStream would provide “better technology, better service, better consumer demand and better worker opportunities.”