AT&T Southwest and the Communications Workers of America (CWA) have agreed on a four-year contract extension for 17,000 workers.

This extension agreement will start when the ongoing contract expires in April 2021. The deal covers AT&T Southwest wireline employees in Arkansas, Kansas, Missouri, Oklahoma and Texas.

CWA’s Claude Cummings

“This agreement provides stability for CWA-represented employees at AT&T Southwest as the country faces the economic impact of the COVID-19 crisis,” said Claude Cummings Jr., CWA District 6 vice president.

Contract Details

CWA District 6 and AT&T Southwest began negotiations on June 15. The extension includes general wage increases in each year of the contract. That includes 3% for the first two years, 2.5% in the third year and 2.25% in the fourth year. It also preserves a health plan without additional employee cost sharing.

The agreement includes first-time health care coverage provision for all employees who retire during the life of the 2017 AT&T Southwest collective bargaining agreement. The CWA said this is a major breakthrough in its negotiations with AT&T. It is also a “huge savings” for members in CWA District 6 who retired under the 2017 agreement.

The CWA and AT&T also agreed to extend the terms of all agreements, modifications and amendments that are part of the 2017 AT&T Southwest settlement.

“We worked cooperatively with the union to reach agreement on a four-year extension of the Southwest wireline contract, providing a level of certainty to employees covered by the contract,” said Jim Kimberly, AT&T spokesman. “This agreement will allow us to continue to provide solid middle-class jobs with competitive wages and benefits, while maintaining the flexibility the company needs to operate in an extremely competitive industry.”

Last month, the CWA slammed AT&T for cutting 3,400 technician and clerical jobs across the country. It also said AT&T plans to permanently close more than 250 AT&T Mobility and Cricket Wireless stores. That affects 1,300 retail jobs.

In response, AT&T said these actions “align with our focus on growth areas along with lower customer demand for some legacy products and the economic impact and changed customer behaviors resulting from the COVID-19 pandemic.”