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Sunday, 07 September 2008
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AT&T Mobility Outsources Tech Jobs to IBM
Friday, 30 November 2007
AT&T mobility informed its nationwide help desk employees that their jobs will be outsourced to IBM beginning next year. The company told the employees in an email and a nationwide conference call on October 4th. "This is to let you know that your job functions and position will be transitioned to IBM effective January 1, 2008,"read the email from Rick Felts, a Senior VP AT&T Mobility, to employees.

Jobs could end up in India

By Marcus Courtney

At least 100 employees in the Bothell, WA location will lose their jobs, and scores of other workers around the country in locations such as CA, NJ and GA will also be impacted.

IBM has a track of winning outsourcing contracts from U.S. firms then moving the work abroad to places such as India where it has almost 100,000 employees.

Some employees will be offered employment at IBM but not all. "At this time, I regret to inform you that you are not among those AT&T employees who will be receiving an IBM job offer..." continued the email sent to employees who will be laid off. "Some people are upset at the news. I kind of chuckled because we could have had a union," said an employee in Bothell who does not want to be named for fear of risking their severance package.

WashTech attempted to organize the Bothell IT department two years ago but failed in gathering a majority of workers in signing union recognition cards. Union organizers at the time raised the outsourcing issue noting that without the protections of a union contract, the company can outsource these jobs at any time. Employees responded that their jobs would never be outsourced.

AT&T's outsourcing announcement comes at a time when the globalization debate is heating up in Congress and the polls show declining support among voters for the free trade agenda. The Senate Finance and the House Ways and Means Committees are working on legislation that would expand what is known Trade Act Adjustment Assistance. The program provides access to extended unemployment insurance, health insurance, retraining benefits as well as relocation expenses. Currently the program only applies to a narrow segment in the manufacturing sector.

The reform legislation would expand it so it applies to service sector workers and allow for community and industry wide certification. In addition, several free trade agreements are stalled because the TAA legislation has not passed which is a center piece program of the new Democratic majority.

The moves by AT&T to outsource IT services to IBM illustrates why an expansion of TAA benefits is necessary for workers and one of the benefits of unionization in protecting jobs from outsourcing actions.

WashTech has written and taken action on the TAA issue before. The recent action by AT&T Mobility to outsource services to IBM illustrates why an expansion of TAA benefits is necessary.  

Note:
Local 3250 was informed by AT&T that this is a restructuring of the work and that occupational employees currently performing the work will be given an opportunity to follow it. We were also advised that some of this work will be transferred to the Client Care Center at 2800 Century Center, Atlanta and occupational employees located in Local 3250's juridiction will not be impacted by a lay-off.
  

Roy Hegenbart
President
CWA Local 3250

 
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