BellSouth Corporation and the Communications Workers of America (CWA) have reached a five-year tentative agreement covering approximately 45,000 BellSouth employees. The previous contract was set to expire at midnight on Aug. 7, 2004.

"We are pleased that once again the company and CWA have been able to work together successfully to find solutions to the complex issues facing our business," said Dick Sibbernsen, vice president of Human Resources for BellSouth. "This agreement allows BellSouth to effectively compete in the marketplace and continue to provide customers with high-quality products and services while providing employees with benefits that rank among the best in the nation."

By reaching a longer-term agreement, BellSouth will increase the stability and certainty for its employees, customers and investors.

"This agreement is a very important one for BellSouth workers," said CWA District 3 Vice President Jimmy Smith. "It achieves our members' key goals of safeguarding health care for active and retired workers and strengthening employment security by providing new access for members to jobs in the growth areas of the company," he said.

More detailed highlights will be released later. Among the provisions: a 5-year contract duration, an increase in base wages of more than 10.5 percent over the contract term, pension improvements, and a health care solution that enables BellSouth to continue to provide its employees with high quality, affordable health care.

The tentative agreement is subject to membership ratification. The agreement covers BellSouth workers in Alabama, Florida, Georgia, Kentucky, Louisiana, Mississippi, North Carolina, South Carolina and Tennessee.