Verizon Says No Strike; Employees Will Keep Working While Talks Continue

(RTTNews) - Verizon Communications Inc. (VZ) announced Sunday morning that employees will continue to work as negotiations with the CWA and IBEW continue on new contracts after the contract expired on August 1.

"We are disappointed that after six weeks of good faith bargaining and a very strong effort by the company, we have been unable to reach new agreements with the unions," Marc Reed, Verizon's chief administrative officer, said in the statement.

"Despite our best efforts, Verizon refuses to engage in serious bargaining towards a fair contract," said Dennis Trainor, Vice President for CWA District One, which represents Verizon workers in New Jersey, New York and Massachusetts. Since June, the unions have been in talks with Verizon over the company's plans to cut costs by controlling healthcare and pension-related benefits.

The union leaders also announced that they will leave the sites of round-the-clock bargaining in Philadelphia and Rye, NY, where union and management teams have been meeting since June 22nd in what has so far been a vain attempt to reach a contract. The unions have informed the company, however, that they are prepared to schedule regular bargaining sessions, and urged the company to begin bargaining constructively. The unions want extra benefits in addition to job security provisions.

The company said on Friday that it is preparing for all potential scenarios following the expiration of its contracts with the CWA and IBEW, covering more than 37,000 Wireline employees in the Northeast and Mid-Atlantic regions.