WASHINGTON-The Communications Workers of America said nearly 1,000 Sprint Nextel workers have gone on strike in four states, balking at company demands for job cuts and slashed health benefits.
CWA alleges, among other things, Sprint siphoned off nearly $9 billion in earnings from its local telephone companies between 1998 and 2003 to invest in wireless and data networks rather than using the money to maintain and upgrade local service and roll out high-speed Internet service, which the union claims is still lacking in many areas.
“This is the most profitable segment of the entire company, yet Sprint is demanding contract concessions that amount to an attack on our paychecks, our families’ health security, our job conditions and our very future with the company,” said Jimmy Gurganus, CWA vice president for telecommunications.
Sprint employees who work at local Sprint telephone operations in Florida, Tennessee, North Carolina and Indiana went on strike at midnight Sunday. As part of the government-approved $35 billion merger with Nextel Communications Inc., Sprint plans to spin off all of its local telephone operations, which according to CWA, serve 7.5 million customers in mostly rural areas.
Nextel entered the merger with Sprint without a unionized workforce. Much of the mobile-phone industry is not represented by the union, something CWA would like to change.
Among the strike issues, according to CWA, Sprint wants to eliminate the cap on employee contributions to health premiums, which would allow management to shift up to 100 percent of its health costs to the workers. In addition, CWA said Sprint Nextel wants to get rid of current limits on transferring work-and jobs-to outside contractors; eliminate its contributions to the employees’ 401(k) savings plan, slash both short- and long-term disability benefits, eliminate overtime pay for Sunday work, cut back on paid leave for vacations, holidays and sick leave, and weaken workers’ seniority rights.
“We’re disappointed we were not able to reach agreements with these bargaining units and that now some of the CWA employees have chosen to strike,” said Debra Peterson, a Sprint spokeswoman.
Peterson noted that between 375 and 400 CWA employees still are reporting to work at Sprint, despite the declared strike. She said company policies and practices offered to the union in the four states are in place elsewhere around the country where Sprint workers are represented by organized labor.
“We remain hopeful we can reach mutually acceptable settlements with each of the bargaining units,” said Peterson.
Until then, Peterson said Sprint will enlist management, contractors and replacement workers to ensure service quality remains strong.
