CWA says AT&T/T-Mobile merger could create 96,000 jobs
posted by Ian M. / Nov 09, 2011, 7:49 AM
AT&T’s biggest opposition in their fight to purchase T-Mobile has been Sprint, who as of now is the nation’s third largest carrier and would fall way behind AT&T and Verizon in terms of subscribers if the merger is to happen successfully. Sprint has been very vocal in their attempts to block this from happening, but the CWA believes that Sprint’s argument that the merger will cause AT&T to cut jobs is incorrect.
AT&T has already made it clear to the FCC that if their acquisition of T-Mobile is allowed 5,000 overseas workers would be brought back to the US, a fact that the CWA has reinforced. That number is in addition to the 96,000 jobs that the union believes the merging of AT&T and T-Mobile could create. AT&T has a plan in place because with the merging of any companies that are part of the same industry there are bound to be workers who do the same jobs. AT&T will be providing a job offer guarantee to all non-management T-Mobile workers. Those workers which AT&T acknowledges will not be needed after the merger will be offered different positions within the company.
In the report published by the CWA, they reiterate that AT&T has an 8 billion dollar commitment to the expansion of their 4G LTE network. The investment is long term and will take place over the course of the next 7 years. The Economic Policy Institute is responsible for the estimate of being able to produce 96,000 more jobs. However, the low end of their estimate says the merger says about 55,000 jobs will be created. Still, even if AT&T can only make good on the low end of that estimate that is a pretty big figure to use in their legal battles.
So AT&T now has the backing of the Communications Workers of America union that believes AT&T is correct in their argument that the merger will create jobs. AT&T is certainly going to have to keep their foot on the gas if they want to close this acquisition, but it is becoming increasingly more difficult to see any reason why it will not happen. While many believe that Sprint will benefit from the merger because of unhappy T-Mobile customers jumping ship, they will most definitely remain against the proposal. Tell us what you think.
Posts: 304; Member since: Nov 09, 2011
i completely agree with you arcq12... AT&T will soon monopolize this business in telecoms...
posted on Nov 09, 2011, 8:03 AM 0
Posts: 896; Member since: Jul 08, 2011
a merger never create job because you no longer need the work force of both company.
posted on Nov 09, 2011, 8:04 AM 7
Posts: 2458; Member since: Nov 28, 2009
Only intelligent coment on this page ^
posted on Nov 09, 2011, 10:27 AM 5
I have to agree with the comment and the intelligence. When Sprint merged with Nextel, any store that was close to another one was closed over the course of two years. Positions that mirrored each other, one was eliminated. The thing is, CWA benefits from this. More members, more dues. And this isn't a digg against unions because I was grateful for CWA when I worked for AT&T. But there is a good reason for them to finally side with AT&T...for once...
posted on Nov 09, 2011, 3:35 PM 2
Posts: 1515; Member since: Jun 03, 2010
The CWA is biased towards their own kind. I can think of no instance where two merging companies within the same industry created jobs. This fiasco has become overly redundant. Additionally, I'm insulted that ATT and the CWA think we are ignorant enough to believe this propoganda. John B.
posted on Nov 09, 2011, 8:05 AM 5
Posts: 3165; Member since: Jun 19, 2010
The job creation has nothing to do with t-mobile merger but their LTE rollout, LOL. And that job creation is temporary. And give it time, they may promise the t-mobile jobs now, but 6 months later AT&T will announce some huge layoff cutting 10% of the workforce because of some poor profit forecast or something or to secure funding on cutting network buildout, etc. When mergers happen, jobs are lost. This is fact. Mergers are done between comapnies that offer similar services to cut the fat so to speak, to increase profit. Cutting employees means increased profit.
posted on Nov 09, 2011, 11:37 AM 2
Posts: 623; Member since: Jan 29, 2011
Never would of believed that people that hate capitalism (ATT buying out T-Mobile) would hate unions too. I guess people just really don't like ATT.
posted on Nov 09, 2011, 12:09 PM 0
Posts: 14605; Member since: Dec 19, 2008
Are these jobs created before or after it lets go a huge chunk of the force? Or are we doing the "technically all Tmobile people will be fired, but we will hire back a few of them as ATT employees and call it a new job" shell game?
posted on Nov 09, 2011, 2:05 PM 4
Posts: 218; Member since: Jun 02, 2011
I dont want to see any jobs lost, but I would like to see att add jobs because we really need jobs here in the states. Also att is one of the few companies that is still hiring americans in this crazy economy and thats one thing no one can say is bad.
posted on Nov 09, 2011, 4:55 PM 1
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