Strike Looms as AT&T Approaches CWA Deadline

Should AT&T Inc.(T) fail to reach a deal with the Communications Workers of America (CWA) by a Feb. 7 deadline, the large and powerful union has authorized a strike on AT&T Mobility.

AT&T has until midnight Saturday to reach a new deal. The current arrangement covers tens of thousands of employees. A strike would have a chilling effect on the company’s many ongoing projects.

Negotiations between the two parties have been underway for weeks now and come at a time when AT&T has already announced 12,000 layoffs. The company also plans to cut capital spending by up to $3 billion this year – that compares to the more than $20 billion AT&T forked out for capex in 2008.

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