The largest union contracts were set to expire next August. The company probably had the voluntary offer to management in mind when it agreed to extend the contracts to 2023. The extension buys it 5 years to settle into the new reduced management structure before facing any major labor disruption. Not pro or con, but I can see strategic thinking in play.
11 replies (most recent on top)
I view the contract extension as a combination of not wanting a interruption to the upcoming 5g rollout when the contract was set to expire in August 2019, and "possibly" as incentive to potential purchaser of wireline. I doubt Frontier could purchase the remaining wireline assets. CenturyLink beat VZ to market with Gigabit service over PON so I guess they could be a contender. Like a previous poster pointed out. Rumor has been hearing that wireline would be sold off for 30 years now. I've been hearing it for the entire 8 years I've been at the company.
It will be interesting to see how the company is after this management buyout. There's already enough things screwed up as it is, but frankly management doesn't seem to care about any of the issues within my organization. They're always met with the attitude of "keep quiet and take another call. Never mind that the system we'll discipline you for not using doesn't work right." So maybe this won't be much of a change.
Apple is buying wireline. Trade in your Vz shares one for 1 get apple shares...
Yes the medical is a contract issue, not lifetime.
Spectrum
lva, isn't the medical up for grabs with every contract negotiation?
I've been hearing the wireline will be "sold off" from the day I walked into company NYNEX.
This 5-year contract will bring me to the big 3 Oh
it's been a wild ride....and it will end with....Full Pension....Full 401K....lifetime Medical
I'm glad I stuck around Thank you CWA and Thank you Verizon..... th-th-th that's all folks.
All the Debbie downers out there have a right to their opinions. Been hearing "wireline will be sold", "no union contract", "etc, etc.....", for many years now. Verizon sold the dead markets, they kept the markets that fit in their business model.
Fair point. Sprucing up the business to spin off wireline is a possibility. However, Frontier bought several wireline properties from Verizon and is having a hard time making money because customers are fleeing. It's stock price has tanked. Not sure how attractive the company can make the remaining wireline properties to a potential buyer, especially with a history of strikes. People on this board often say wireless will not work without a wireline (copper or fiber) backbone. True, but T-Mobile has grown explosively without having to own land line properties. If Verizon could sell its remaining properties for a fair price, a big "if", it probably would.
You mentioned that Verizon has attempted to sell its wireline assets time and time again. Any sourcing for this? Links or documents? Thank you.
Yup. They will sell wireline. Not much different than making your home look nice before putting it on the market to attract more buyers.
Possibly this but they have tried to sell wireline assets time and time again but it didn't work out due to labor costs. I think they use the reduced mgmt headcount and stable contract period to finally make a big sale to century Link or another isp.