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CWA Scores FCC Delay on Local Telecom Mergers: 'Outdated' View of Telecom Industry Results in Bias,
CWA President Morton Bahr strongly challenged reports that the Federal Communications Commission may change its standards for telecom mergers and make it more difficult for pending mergers between Bell Atlantic and GTE and SBC-Ameritech to win approval.
"Instead of blocking these transactions, regulators should be expediting these mergers which will create quality, high-tech jobs for workers and will bring expanded benefits of information technology to consumers," Bahr declared.
Bahr and AFL-CIO President John J. Sweeney have called on FCC chairman William E. Kennard to move forward on approval of these mergers because of the substantial benefits they will provide to workers and consumers.
Anonymous FCC sources cited in today's Wall Street Journal indicated the agency may delay or derail these mergers by imposing additional conditions on the deals.
"It seems that mergers involving local telecom companies- including those that have resulted in new jobs- are facing much tougher scrutiny by regulators than some other deals, such as the MCI-WorldCom merger which so far has resulted in 3,500 layoffs and less choice for customers in local service," Bahr noted.
Regional U.S. telecom companies like Ameritech, SBC, Bell Atlantic and GTE must be able to expand beyond their traditional areas to be able to compete with national and global providers like AT&T and MCI-WorldCom, Bahr pointed out.
This issue is the focus of an analysis just completed by CWA which indicates that local telecom companies face inequitable treatment that is at odds with the goals of telecommunications reform.
Among its conclusions, the report reminds readers that local telephone companies face handicaps that global carriers don't, including intense regulatory barriers to entering the long distance market and in providing other telecom services, and in their continued responsibility to provide universal service.
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Reporters who want a copy of the report should contact the CWA Communications Dept. at 202/434-1168.
"Instead of blocking these transactions, regulators should be expediting these mergers which will create quality, high-tech jobs for workers and will bring expanded benefits of information technology to consumers," Bahr declared.
Bahr and AFL-CIO President John J. Sweeney have called on FCC chairman William E. Kennard to move forward on approval of these mergers because of the substantial benefits they will provide to workers and consumers.
Anonymous FCC sources cited in today's Wall Street Journal indicated the agency may delay or derail these mergers by imposing additional conditions on the deals.
"It seems that mergers involving local telecom companies- including those that have resulted in new jobs- are facing much tougher scrutiny by regulators than some other deals, such as the MCI-WorldCom merger which so far has resulted in 3,500 layoffs and less choice for customers in local service," Bahr noted.
Regional U.S. telecom companies like Ameritech, SBC, Bell Atlantic and GTE must be able to expand beyond their traditional areas to be able to compete with national and global providers like AT&T and MCI-WorldCom, Bahr pointed out.
This issue is the focus of an analysis just completed by CWA which indicates that local telecom companies face inequitable treatment that is at odds with the goals of telecommunications reform.
Among its conclusions, the report reminds readers that local telephone companies face handicaps that global carriers don't, including intense regulatory barriers to entering the long distance market and in providing other telecom services, and in their continued responsibility to provide universal service.
###
Reporters who want a copy of the report should contact the CWA Communications Dept. at 202/434-1168.