Recent updates do not bode well for Verizon and the strike. Many speculations that the union strike would usher staggering impact have arise. Also, it appears that Verizon is facing another crisis as the promise of installing Fiber optics in Boston was rumored to be unreliable and a complete hoax.
The union workers, the dismay and the strike have brought negative image for the company. Public distrust surmounts against Verizon. To prove the latter, Verizon faces another scrutiny that demands clarity from the company.
The issue began when Verizon stated that it would be spending about $300 million over 6 years to upgrade the city to FiOS. It is a fiber-to-the-home service that aims on improving Internet connectivity in Boston, but it seems like the plan was just mere words.
— CWA (@CWAUnion) May 23, 2016
Huffington Post cited Verizon's CFO & EVP Francis J. Shammo statements on Verizon's First Quarter 2016 earnings call, April 12, 2016. According to him, "So the $300 million, you're not even going to see it in the Wireline capital numbers. It's already there."
However, the issue that persisted was that Verizon has had a change of heart. In this First Quarter 2016 earnings call, Shammo said that the build out is for another Verizon company -- Verizon Wireless. And it is going to be paid for by the wireline, state utility, Verizon Massachusetts, reports the same post.
#VerizonStrike may cost co. $343 million in quarterly revenue. Fairness cheaper. https://t.co/zxnTIpaW3f #TxAFLCIO pic.twitter.com/MqKsR0CJaO — Texas AFL-CIO (@TexasAFLCIO) May 24, 2016
It appears that Verizon may have to explain its recent actions and clear its name and legacy. Moreover, Verizon should brace itself for more scrutiny and storms along the way. iTech Post mentioned that the union workers and the strikers are not backing down and will fight for what they believe is rightfully proper and ethical.
It remains uncertain on how the recent Verizon 2016 strike would end. However, it is unquestionable that there would be a staggering impact from the union strike. In addition, if Verizon does not clear the issues regarding the fiber optics in Boston, the union workers may once again brand the plan as a failure in Verizon's part. At the same time, the notion of hoax projects regarding the Boston operation might fuel more doubts and uncertainties for the consumers and workers as well.