Verizon strikers will return to work June 1, according to a statement released yesterday by the IBEW and CWA. Verizon reports that the number of striking workers was around 36,000, while the unions peg it as nearly 40,000. IEBW and CWA revealed that a tentative agreement had been reached on Friday, but fleshed out some of the details in yesterday’s statement.
Union members will vote on ratification after they return to work. They’ve been out since mid-April.
One of the key sticking points revolved around the potential outsourcing of jobs. The unions report that under the terms of the proposed agreement, Verizon agreed that no additional jobs will be outsourced overseas, while increasing the number of calls routed to domestic call centers. “This will result in the creation of 1,300 new call center jobs with 850 in the Mid-Atlantic region and 450 in the Northeast,” the unions’ statement reads.
Additionally, the company reportedly agreed to not require technicians to be available to travel outside their home areas for up to two months at a time.
Verizon also released a statement yesterday pointing out that it will achieve cost savings and cost avoidance through healthcare plan design changes, adopting Medicare Advantage plans for retirees, maintaining limits on post-retirement healthcare costs, and freezing the mortality table for lump sum pensions using the GATT rate.
It also reports that the agreements allow for greater flexibility in call sharing and give the company the ability to offer special buyout incentives to employees.
Verizon further underlined that as part of its goal to accelerate growth in it wireline broadband business, it will hire additional associates over the term of the contract.
The unions also list the following as part of the tentative four-year agreement:
• Wage increases of 3 percent for the first year and 2.5 each year after
• No cap on pensions and three 1 percent increases over the life of the agreement
• Retaining competitive health benefits
• Strong job security language
If ratified, the terms of the contract would expire on August 3, 2019.
