On May 21, 2025, AT&T announced its intent to acquire Lumen Technologies’ residential fiber business, which serves approximately one million customers across 11 states. The Communications Workers of America (CWA), representing workers at both AT&T and Lumen, has expressed significant concerns about the structure of the transaction and its potential impact on employees and customers. The acquisition involves transferring Lumen’s residential fiber assets to a newly formed AT&T subsidiary, dubbed “NetworkCo,” which will then be partially sold to an undisclosed private equity partner.
CWA President Claude Cummings Jr. stated that the union is closely examining AT&T’s plans to evaluate their implications for workers and the communities they serve. “Our union’s leadership will work with both companies to ensure that our members are respected and protected so that they can continue providing the high-quality service that customers deserve,” Cummings said. The union emphasized its commitment to ensuring that any transition maintains the workforce’s ability to deliver reliable, high-quality service.
The CWA’s concerns stem in part from AT&T’s previous establishment of a similar subsidiary, Gigapower, launched two years ago to expand fiber networks in several markets. A CWA review of Gigapower’s operations revealed a reliance on multi-tiered subcontracting and temporary staffing agencies, rather than hiring trained, experienced workers. This approach, according to the union, has led to significant issues. In Mesa, Arizona, and Bloomington, Minnesota, Gigapower contractors were linked to nearly 450 incidents of damage to public rights-of-way and numerous preventable underground utility strikes, raising public safety concerns.
CWA District 7 Vice President Susie McAllister highlighted the union’s dedication to ensuring high-quality fiber deployment. “Our members care deeply about the customers and communities we serve,” she said. “We have fought to ensure that fiber buildout is done right, with high-quality networks built by experienced union technicians. AT&T’s stated plans for Lumen’s home fiber business put that at risk.” McAllister added that the CWA intends to engage regulators and elected officials to address these concerns as the acquisition process unfolds.
CWA District 3 Vice President Richard Honeycutt echoed these sentiments, emphasizing the need for AT&T and Lumen to prioritize customers and workers over shareholder interests. “Lumen’s customers deserve a first-class fiber network, and that’s what CWA members deliver,” Honeycutt said. He called on both companies to commit to maintaining a directly hired, well-trained union workforce and to ensure that customers reliant on Lumen’s copper network are not neglected during the transition.
The CWA’s response underscores broader concerns about the potential erosion of service quality and worker protections in the telecommunications industry. As AT&T moves forward with its acquisition, the union is poised to advocate for transparency and accountability to safeguard the interests of its members and the customers they serve. The transaction’s progression will likely face scrutiny from both the union and regulatory bodies as they assess its broader implications.
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