August 14, 2003

A.F.L.-C.I.O. Dials Up Competitive Threat in Verizon Union Fight

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The New York Times reported that Verizon's union is willing to fight dirty to strengthen their negotiating position:

    "The A.F.L.-C.I.O. plans to start by urging roughly 3.5 million people — those from families with union members in five Eastern states where Verizon is the dominant phone company — to log their names, addresses and phone numbers on a Web site, where they could be easily compiled for submission to AT&T."

That's more than 10 percent of Verizon's customer base in the states affected, something AT&T has said they'd both welcome and be able to handle. Since union-sponsored boycotts in the telecom market are tough for unions to promote or enforce, wholesale switching of service providers appears to be the hardball alternative... except for the paradox that, the very act of reducing a customer base to the advantage of a top competitor means fewer union jobs will be needed in the end.

- Arik

Posted by Arik Johnson at August 14, 2003 01:26 PM | TrackBack