The union representing 25,000 Qwest workers reported minimal progress Thursday in negotiations, as the clock ticks toward a midnight Saturday contract expiration.
The thorniest issue appears to be mandatory overtime, which sparked a 15-day strike in 1998 against Qwest’s predecessor, US West. That job action caused customer discontent and cost the Denver-based phone company $20 million.
“It took a two-week strike to reach an agreement on this critical issue,” said Annie Hill, vice president for the Communications Workers of America District 7 in Greenwood Village. “We hope that Qwest doesn’t force our members again to make such a choice.”
Qwest spokesman Bob Toevs said he was optimistic about the talks but declined to offer specifics.
The CWA is also pushing to increase wages for the first time in two years, maintain current health benefits and force management to consider local workers before offshoring jobs.
Qwest has made no offer to improve wages, according to Hill, and union officials won’t disclose what they are asking for. Qwest also wants to push the mandatory overtime cap from eight to 16 hours per week and transfer up to 30 percent of health-care premium costs to workers by 2008, according to the CWA. Qwest declined to comment.
Qwest’s unionized workers last week voted to authorize the CWA to call a strike if necessary.
“Hardball union negotiation tactics run the risk of undermining the turnaround that’s underway” at Qwest, said Sanford C. Bernstein & Co. analyst Jeffrey Halpern. “I would expect the union understands that this is a company without infinite financial flexibility.”
Qwest’s 15,000 managers and nonunion employees received their strike assignments several weeks ago. If a strike happens, many will drive or fly on Sunday morning to far-flung destinations in Qwest’s 14-state region to work in call centers or drive repair trucks.
They have been told to pack for at least three weeks and prepare to work 10 to 12 hours a day, seven days a week.
CWA Local 7777, which represents 2,800 Qwest workers in Denver, is also gearing up. It has organized mid-day demonstrations today outside Qwest’s call center at 1005 17th St. and two other technical centers in Denver.
“It’s to keep the workers excited,” said Local 7777 strike manager Chris Washburn. “To get the energy up.”
If a strike is called, Qwest workers also plan to picket Sunday at the grand prix outside Denver’s Pepsi Center, along with three Qwest locations in Denver.
Washburn said 1,800 workers have been scheduled to picket at more than 30 Qwest locations around Denver next week if a strike is called. Coolers, bottled water and other supplies are being bought.
“It’s hard to differentiate between brinksmanship and what is real,” said Donna Jaegers, an analyst with Denver-based Janco Partners.
Qwest is burdened with $14.7 billion in debt. Its phone customers are being whittled away by a new slew of wireless carriers, cable companies and Internet phone providers.
“A strike would be bad news for Qwest,” Jaegers said. “It’s imperative they maintain good service, because they are now competing with Comcast and lots of small phone competitors.”
Bloomberg News contributed to this report.
Staff writer Ross Wehner can be reached at 303-820-1503 or rwehner@denverpost.com.
