Agreement Provides Additional Jobs, Restricted Stock in Frontier, and Funding for Supplemental Job Training
NORWALK, Conn.--(BUSINESS WIRE)-- Frontier Communications Corporation (NYSE:FTR, news, filings) and the International Brotherhood of Electrical Workers (IBEW) Local 543 are pleased to announce the signing of an agreement that will benefit IBEW-represented employees in California and Frontier's future customers in the state. The agreement is an important step forward in the process to complete Frontier's planned $10.54 Billion acquisition of Verizon's wireline business and assets in California, Florida and Texas. The IBEW supports the proposed acquisition and believes it is in the public interest and the interest of its members. The acquisition is expected to close at the end of the first quarter 2016.
This Smart News Release features multimedia. View the full release here: http://www.businesswire.com/news/home/20151002005636/en/
IBEW Local 543 represents approximately 200 Verizon workers in California; approximately 80,000 workers at private employers and public utilities in the state are represented by various IBEW locals. This agreement provides the IBEW Local 543-represented workforce at Verizon assurances for the acquisition and how it will affect them. It also includes operational benefits to allow Frontier to implement its local engagement model in the newCalifornia markets. Reaching this agreement early allows these dedicated men and women to focus on continuing to deliver state-of-the-art broadband, voice and video services to Frontier's future residential and business customers.
Frontier has agreed to honor and extend current collective bargaining agreements. Highlights of the latest agreement include:
- The addition of 25 new union jobs in California;
- Employee job security and guaranteed workforce size;
- A grant of 100 shares of restricted stock of Frontier Communications Corporation to all transferring employees;
- Competitive wage increases;
- Additional investments in employee training by Frontier;
- Frontier continues its commitment to a 100% U.S.-based workforce.
Dan McCarthy, President & Chief Executive Officer of Frontier stated, "Frontier has a longstanding positive relationship with the IBEW International and with IBEW locals in many of the states where we provide service. The IBEW and Frontier worked together to reach this important agreement in a challenging economic and increasingly competitive business environment. Leaders from the IBEW International and IBEW Local 543 partnered with Frontier's team to ensure mutual success for our employees and our customers, securing a positive agreement in support of the acquisition."
Jerry Koger, Business Manager of San Bernardino IBEW Local 543 said: "Our members are dedicated to providing excellent customer service every day for the people of California. The agreement shows that by working together with Frontier, we can achieve mutual goals that benefit customers and employees alike."
Both Frontier and the IBEW leaders collaborated on important operational and economic issues, noted McCarthy but the most important shared goal was putting the customer first. "I am proud we are putting our future customers at the center of all we do and delivering the highest-quality, most reliable communications services in our expanded areas," McCarthy said.
The agreement between Frontier and IBEW is contingent upon applicable state and local approvals and the consummation of the proposed transaction.
"We believe that labor and management can achieve more by working together, not against each other," said IBEW International President Lonnie R. Stephenson. "This agreement is a win for workers, a win for management and, most of all, a win for the consumer."
About Frontier Communications
Frontier Communications Corporation (NASDAQ: FTR) offers broadband, voice, video, wireless Internet data access, data security solutions, bundled offerings, specialized bundles for residential customers, small businesses and home offices and advanced communications for medium and large businesses in 28 states. Frontier's approximately 18,200 employees are based entirely in the United States. More information is available atwww.frontier.com.
About International Brotherhood of Electrical Workers
The IBEW represents approximately 750,000 active members and retirees who work in a wide variety of fields, including utilities, construction, telecommunications, broadcasting, manufacturing, railroads and government. The IBEW has members in both the United Statesand Canada and stands out among the American unions in the AFL-CIO because it is among the largest and has members in so many skilled occupations.
This document contains "forward-looking statements," related to future, not past, events. Forward-looking statements address our expected future business and financial performance and financial condition, and contain words such as "expect," "anticipate," "intend," "plan," "believe," "seek," "see," "will," "would," or "target." Forward-looking statements by their nature address matters that are, to different degrees, uncertain. These risks and uncertainties include, but are not limited to: Frontier's ability to complete the acquisition of Verizon's California, Florida and Texas wireline operations, including the ability to complete the financing of the acquisition; the ability to successfully integrate the acquired operations into Frontier's existing operations; the sufficiency of the assets to be acquired from Verizon to enable the combined company to operate the acquired business; the ability to enter into or obtain, or delays in entering into or obtaining, certain agreements and consents necessary to operate the acquired business as planned; the ability to obtain, delays in obtaining or adverse conditions contained in any required regulatory approvals for the Verizon transaction; and the other factors that are described in our filings with the U.S. Securities and Exchange Commission, including our reports on Forms 10-K and 10-Q. These risks and uncertainties may cause our actual future results to be materially different than those expressed in our forward-looking statements. We do not undertake to update or revise these forward-looking statements.
Source: Frontier Communications Corporation
News Provided by Acquire Media