Qwest & Communications Workers of America Reach Tentative Deal For 20,000 Workers

October 12, 2008 2:38 p.m. EST

Denver, CO (AHN) - Qwest Communications International Inc., whose local phone services cover 14 U.S. states, reached a tentative deal with the Communications Workers of America on a new four-year agreement.

The agreement involves 20,000 employees of its 35,000 workforce. Under the new terms, CWA members are secured for an extra year despite hard economic times as Qwest resolves increasing operating costs.

Workers will also get an annual wage hike of 3 percent, or 12.6 percent cumulative over the life of the contract. Health care premiums for families will increase to $75 a month from $33.

Qwest said the deal was favorable to its peers in the industry. The union is scheduled to vote on the proposal on October 31.

The two parties held negotiations on Oct. 9 and 10 in an effort to clinch a deal that is acceptable to member. Last month, employees turned down a proposed three-year agreement.

Qwest has been cutting costs to ensure profitability amid decline in revenue.