Monday, Jun. 12, 1989

Business Notes BENEFITS

As working couples struggle to meet their family responsibilities, they are asking corporate America to lend a hand. Last week AT&T agreed to one of the largest expansions of family benefits ever achieved in labor negotiations. Under a three-year contract covering 160,000 members of its communications and electrical unions, AT&T will increase from six months to one year the parental leave it offers mothers and fathers of newborns. The company will also permit such leaves for the care of ailing relatives.

Among other family features: payments of up to $2,000 to cover costs when workers adopt children and a $5 million fund to help support and establish child-care centers. But the benefits were not free. In return for these and other new provisions, employees agreed to forgo automatic cost of living adjustments.