DENVER — Qwest Communications International Inc. says it has tentatively agreed on a new, four-year contract with a union representing about 20,000 employees.
The company made the announcement early today. Members of the Communications Workers of America last month rejected a tentative three-year agreement with Denver-based Qwest, after the previous contract expired Aug. 16.
The company and union agreed to extend the terms of their 2005 contract and had been talking about a revised agreement since Thursday.
Results of a ratification vote on the new agreement by union members are expected by Oct. 31.
The new deal calls for a 12.5 percent raise over the course of the contract and a pension increase of 3 percent for those who are eligible and retire from the company after Oct. 12.
“While economic pressures are challenging, especially in the face of rising health care costs and the recent financial crisis, we feel it is the right thing to do to stand by the offer we made in August 2008 of fair increases in wages and modest monthly premiums,” Rich Baer, Qwest general counsel and chief administrative officer, said in a written statement.
Louise Caddell, CWA district vice president, said the union recognizes that the certainty of a four-year agreement in the troubled economy is win a for its members.
The agreement calls for employees to pay $75 a month for family health care coverage, compared with $33 a month in the 2005 contract. If an employee chooses to participate in the optional “high-deductible” plan, family coverage will cost $5 per month.
The union represents Qwest employees in 13 states.
Qwest is the primary telephone provider in 14 mostly Western states.
