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      Guide to good business:
      1. Promise $1000 bonus to employees on condition of tax cut
      2. Get tax cut
      3. Lay off all employees eligible for bonus
      4. Keep bonuses
      5. Profit

      Layoffs are reportedly happening nationwide and affecting thousands of jobs, but the CWA and AFL/CIO lawsuit against AT&T focuses on 713 layoffs in Texas, Oklahoma, Arkansas, Missouri, and Kansas.

      "The alleged reason given by the Company for this extensive layoff, 'reduction in workload,' is palpably false," the union's complaint in US District Court says. "There is no reduction in workload. The Company's business is booming and earning massive profits."

      AT&T was sued last week by a workers' union that is trying to stop the telco from instituting what it calls a "massive layoff." Thousands of employees are reportedly being laid off by the company, which reported $39.7 billion in revenue and $6.4 billion in operating income last quarter.

      The layoffs have triggered a lawsuit by Communications Workers of America which says layoffs are violating a collective bargaining agreement between the company and 20,000 workers the union represents. The CWA says it is seeking an injunction to stop the job cuts and also has complained to the National Labor Relations Board.

      AT&T is "instituting an unprecedented massive layoff of employees represented by the union while at the same time massively subcontracting work that the employees are trained and qualified to perform," the Communications Workers of America (CWA) said in a lawsuit filed Saturday in US District Court in Austin, Texas. The union also filed a complaint with the National Labor Relations Board.

      When contacted by Ars today, AT&T didn't deny the layoffs but said the union allegations that AT&T violated collective bargaining agreements are "baseless."

      AT&T also defended its employment levels. In doing so, AT&T undercut some of its own previous arguments that net neutrality rules suppress investment and that AT&T needed a big tax cut in order to boost investment.

          one year ago

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          In super large companies layoffs have little to do investments in other parts of the company or even profits as whole.

          The telecom industry has been downsizing for years, this is nothing new. Unless there is something the company did that violated the union contract what they are doing is basically a publicity stunt. The union has to do something like this to justify the dues they collect every week...this is normal....I would want my union to do the same thing.

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