CWA wouldn't support a Sprint purchase of T-Mobile

CWA wouldn't support a Sprint purchase of T-Mobile
With over 700,000 members, the Communications Workers of America is the largest union supporting workers in the communications industry. As such, statements coming from the CWA often carry a lot of weight. So when the CWA says that a Sprint acquisition of T-Mobile would be worse for the union and it's members than AT&T buying T-Mobile back in 2011, you need to sit up and listen to the the reasoning.

First of all, back in 2011, the CWA fully supported AT&T's acquisition of T-Mobile. But the union now says that regulators should shoot down any proposed deal involving SoftBank because the Japanese telecommunications firm brings less to the table than AT&T did. In addition, the CWA points out in a statement that regulators did not let AT&T buy T- Mobile because it wanted four competitive carriers to exist. Back then, the Justice Department called T-Mobile an "aggressive competitor" that forced the other three carriers to compete on price.

The union notes that today, T-Mobile is an even stronger player than it was in 2011. And that is why the CWA wants the carrier to stay independent. In fact, most of the innovation in the industry, at least in the U.S., comes from T-Mobile. The CWA can't be happy knowing that Sprint has outsourced the management of its network to a company in India and that 70% of its call center jobs are outside of the U.S. And you might remember that T-Mobile itself had closed down seven of its U.S. call centers in 2012, moving the jobs out of the country.


According to the union, the bottom line is that big business would benefit from a Sprint acquisition of T-Mobile, but U.S. workers would be harmed. Besides eliminating redundancies, T-Mobile might be forced to outsource many of the jobs now done by Americans.

source: BGR

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13 Comments

1. Miracles

Posts: 560; Member since: Aug 31, 2013

Well said CWA! T-Mobile needs to stay independent.

8. Droid_X_Doug

Posts: 5993; Member since: Dec 22, 2010

Just one more reason why I don't expect T-Mo to be successfully acquired by SoftBank.

2. djkhalid

Posts: 156; Member since: Jul 01, 2013

Miracles agreed

3. ajac09

Posts: 1482; Member since: Sep 30, 2009

Wow.. !!

4. Augustine

Posts: 1043; Member since: Sep 28, 2013

CWA is the other side of the coin of the problem. On the other side are corporations. But the coin and its both sides is the dread of consumers.

7. reckless562

Posts: 1153; Member since: Sep 09, 2013

what????

11. JerzeySniper

Posts: 22; Member since: Mar 21, 2011

Unfortunately much like our last two elections this nation is full of misinformed only look at the surface educated idiots. As a former member of CWA wouldn't take anything they say in this matter into consideration. Unions used to be good for workers now days they're just double dipping lobbying corporate blackmailers.

5. donfem

Posts: 708; Member since: Mar 30, 2011

Thumbs up to CWA

6. Killertech2099

Posts: 148; Member since: Sep 28, 2013

T-mobile is even more aggressive then they were before you really think they want sprint to get T-Mobile offering less money then At&T? Sprint is screwed. Go CWA!! They at least took a look at the other side of how it would effect the company and not only that it's employees.

9. snowgator

Posts: 3614; Member since: Jan 19, 2011

Still not sure how I feel about this. I can't say I am against it- I have no fantasy that either Sprint/Softbank or T-Mobile will ever really "catch" Verizon and AT&T, so part of me thinks there would be more competition from a 3rd carrier able to compete with them in all markets then 2 seperate carriers nipping at their heals. Throw in the resources at Softbank's disposal and their aggresive approach, I think they have a great vision of where they want to be in the US market and this could truly be a great thing. Sprint and T-Mobile's customer base combined makes for an attractive power that would also have Clearwire's spectrum and tech to roll out a massive carrier that would cause near anarchy. And I mean that in a good way- a little revolution now and again is needed. However, I have no idea how Softbank affects Sprint, much less how it would run both carriers. I see T-Mobile adding subscribers and at least AT&T reacting to it. I see actual differences in the business model of Sprint & T-Mo, where AT&T and Verizon stay close in step with each other. And Sprint/T-Mo are so vastly different in network tech it is a hard to see it as anything then another Sprint/Nextel trainwreck without LTE adoption being put on the extreme fast track. Throw in any merger/tack over always results in job losses, and the pill gets a little more bitter. There seems to be more against it then for it, but enough for it to at least consider it. I am glad I do not have to make these decisions. I have talked myself into agreeing with both sides like 4 different times now.

10. corporateJP

Posts: 2458; Member since: Nov 28, 2009

^This.

12. johnbftl

Posts: 283; Member since: Jun 09, 2012

The CWA is a joke. They don't do anything for their members. I've seen so many employees walked out for the stupidest things and the union won't even step up to fight for that person's job the way they're supposed to. I've seen employees request for union reps to be there for write ups to contest things, and the reps won't even show. They're happy taking dues every paycheck, but when they're needed, they are nowhere to be found. I wouldn't listen to anything they say, nor would I stand in agreement with them on most platforms.

13. JEverettnow

Posts: 228; Member since: Mar 11, 2013

Softbank doesn't need to borrow anymore money or ruin the competition in the U.S. I am a Sprint employee and they have done nothing but wreak havoc on our company since the aquisition. Now a bunch of Sprint employees are going to be getting layed off while a bunch of upper management is getting sent to the superbowl, staying in 5 star hotels, and are going to meet Adam Levigne after a Maroon 5 concert. Lay off thousands, but spend millions on perks for the people at the top. Vodafone Japan is still #3 in Japan by the way.

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