Connect with us


Time for AT&T to Pay Up or Go Down



AT&T hasn’t had any labor problems in four years. Until now. About 21,000 workers walked out on Friday afternoon, beginning a 3 day strike which resulted in chaos and sporadic store closures for AT&T. Those workers belong to a union called The Communications Workers of America, which houses AT&T employees. Those employees were joined by more than 17,000 AT&T internet and wireline workers in California and Nevada. Why are these workers striking?

What Can AT&T Do to Rectify the Situation?

AT&T workers officially saw their contracts expire in February. The Communications Workers of America (CWA) union set a deadline for this past Friday to have a new contract in place, or AT&T would face a massive walkout. Turns out, AT&T didn’t take the threat seriously, and ended up with about 40k employees walking out and striking.

The workers are fighting for wage increases, job protection against outsourcing, improved sales commissions rates, and guarantees that their insurance rates won’t continue to rise. AT&T says the company has made generous offers equivalent to what unions around the country have accepted. However, with the CWA seeing support from the Teamsters, American Federation of Teachers, and the AFL-CIO (as well as one Oregon Senator), it’s unlikely AT&T matched offers traditionally accepted by any of these unions, or the CWA would have backed down.

Without employees, AT&T can’t operate their stores, their internet installation business, or their call centers. If AT&T can’t come to terms with the CWA, the company could outsource call centers relatively quickly, but training employees both in and out of stores takes time and money. Fortunately for AT&T, the strike only lasted 3 days, unlike the last Verizon strike, which lasted 7 weeks. CWA workers will be back at work Monday — for now.

Watch the news report from WMTW-TV about AT&T Labor strike:

AT&T has a good track record with the unions, and should be okay. But if the two sides can’t come to terms quickly, AT&T could face another walkout soon, and this one would be significantly longer. Labor issues are a huge red flag to traders, and as a result, expect shares of AT&T, Inc. (T) to drop down.

Microsoft announced that they are opening two mega data centers in Africa. Find out more here.

Follow us on Facebook and Twitter for more news updates!

The statements, views, and opinions of any article, contribution, editorial, or advertisement in this publication are not necessarily those of The Capitalist or its editorial staff, and are not considered an endorsement, sponsorship, or recommendation of any referenced product, service, issuer, or groups of issuers.

This publication provides general information about certain subjects, and should not be construed or taken as advice (legal, financial, investment, tax, or otherwise). Do not construe or take any information in this publication as a solicitation, offer, opinion, or recommendation to buy or sell any securities, bonds, or other financial instruments or to provide any legal, financial, investment, tax, or other advice or service about the suitability or profitability of any financial instruments or investments.

The Capitalist disclaims any liability for the accuracy of or your reliance on any statements, views, opinions, or information in this publication.

Featured image via Visual Hunt



  1. Pingback: Trump Signs $110 Billion Arms Deal... Here's What That Means for Traders

  • CaptGene says:

    Karl Marx said to seize control of the trade unions. Done. When it came to child labor laws unions did a lot of good, of that there is no argument. However, they became all controlling and face it, how many unions, after taking their member’s money, donate to Republican candidates? Unions are by and far progressive” [aka – socialist, communist, Marxist] and crime family organizations. What made me actually laugh in this article was the AT&T strikers about rising (health) insurance costs. Well, DUH! Whose fault is that? You useful idiots DEMANDED OHOMOKARE. Now you have it. Stop whining you useful f**king idiots!

Leave a Reply

Your email address will not be published. Required fields are marked *

Continue Reading

Copyright © 2023 The Capitalist. his copyrighted material may not be republished without express permission. The information presented here is for general educational purposes only. MATERIAL CONNECTION DISCLOSURE: You should assume that this website has an affiliate relationship and/or another material connection to the persons or businesses mentioned in or linked to from this page and may receive commissions from purchases you make on subsequent web sites. You should not rely solely on information contained in this email to evaluate the product or service being endorsed. Always exercise due diligence before purchasing any product or service. This website contains advertisements.


Is THE newsletter for…


Stay up-to-date with the latest kick-ass interviews, podcasts, and more as we cover a wide range of topics, in the world of finance and technology. Don't miss out on our exclusive content featuring expert opinions and market insights delivered to your inbox 100% FREE!