WASHINGTON-The Communications Workers of America said nearly 1,000 Sprint Nextel Corp. 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 Oct. 9. 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 serve 7.5 million customers in mostly rural areas.
Like much of the mobile-phone industry, Nextel was not represented by the union at the time Sprint acquired it.
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 health costs to workers. In addition, CWA said Sprint Nextel wants to get rid of existing limits on transferring work-and jobs-to outside contractors; eliminate its contributions to the employees’ 401(k) savings plans, 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.
Sprint Nextel was not immediately available for comment.
