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Both Sides See Verizon Talks Inching Toward an Agreement

  • 08-07-2003
Negotiations between Verizon Communications and its two main unions inched forward yesterday, with officials on both sides saying that they expected an agreement in the next few days.þþBut several union officials warned that although the sides continued to negotiate specific contractual language, things could still fall apart and the 78,000 workers from the two unions could go on strike. A strike would affect 13 states and Washington.þþÿWe continue to work through the contractual language,ÿ said Eric Rabe, a spokesman with Verizon, the nation's largest telecommunications company. ÿWe're at the point where a lot of detail work needs to be done.ÿþþAt noon yesterday the two sides began a two-and-a-half-hour bargaining session attended by the federal government's top mediator, Peter Hurtgen, director of the Federal Mediation and Conciliation Service. þþÿProgress has slowed considerably but it's still progress,ÿ said Jim Spellane, spokesman for the International Brotherhood of Electrical Workers. ÿThe next batch of paper that comes from the company could be pivotal.ÿþþOfficials from Verizon's largest union, the Communications Workers of America, said that even though the two sides were completing contractual language, a gap remained.þþÿWe're still working on key issues, job security and health care, especially job security,ÿ said Candice Johnson, a spokeswoman for the communications workers.þþConcerned about contractual provisions that limit its ability to lay off or transfer workers, Verizon is arguing that it desperately needs more flexibility to manage its work force to cope with the fierce competition in telecommunications. But union officials see no need for altering the contract's job security provisions, noting that Verizon was able to reduce its unionized work force by 15,000 over the last three years through attrition and buyouts.þþOn health insurance, management complains that it pays 95 percent of the workers' health costs. Verizon officials say that with company health costs rising by 12 percent a year, it is time for union members to pay more than the 5 percent of the health costs they now shoulder. þþThe two unions counter that Verizon could easily afford to pay the increased health care costs itself because it had $4 billion in profit last year on revenue of $67 billion.þþThe old contract expired at 12:01 a.m. on Sunday, with the unions originally threatening to walk out at that time. The unions suspended the deadline because of progress in the talks. The two sides, who have agreed to avoid discussing details about the negotiations, have had little to say.þþÿIt's like watching paint dry,ÿ one union official said.þþþ

Source: NY Times