- CWA claimed Gigapower’s use of “unlicensed and unregistered” subcontractors led to safety issues and delays in Chandler, AZ
- Tilson, which is currently suing Gigapower, was involved in the project
- The union has been monitoring subcontracting and other broadband workforce issues
The Communications Workers of America (CWA) union has more beef with Gigapower’s workforce practices, arguing the joint venture’s use of subcontractors resulted in “poor quality work” in an Arizona fiber project.
A lengthy report published this week stated Gigapower hired 28 different subcontractors in Chandler, Arizona to perform tasks such as boring, concrete repair, drilling, permit review and traffic control. Citing public city records, CWA said Gigapower had multiple “unlicensed and unregistered” contractors working on the project, and work was halted five times in one year due to “public safety and restoration issues.”
“Gigapower’s build-out in Chandler, Arizona, similar to other Gigapower markets, was marked by severe workforce fragmentation with low levels of visibility into the contracted workforce,” wrote CWA, which has also flagged the company’s projects in Mesa, Arizona and Bloomington, Minnesota.
The report further claimed subcontractors were responsible for “multiple hits” to underground utility lines, operated “outside of approved work hours” and that Gigapower was “failing to provide requisite quality control needed to approve permits.”
The Gigapower/Tilson saga continues
CWA directed much of the blame toward Tilson, which served as Gigapower’s prime contractor in Chandler from June 2023 to April 2025.
Tilson is a telecom construction firm mired in financial trouble. The company in May filed for Chapter 11 bankruptcy after one of its largest clients – later revealed to be Gigapower – cancelled contracts to deploy fiber networks in Arizona and Nevada.
Tilson then went ahead and filed a lawsuit against Gigapower, claiming the latter withheld more than $200 million in fiber work payments after terminating its contract “for convenience.”
How the lawsuit will pan out is uncertain, now that Tilson is selling its business to ITG Communications for $22 million. ITG, which has more than 8,000 U.S. employees and counts several big-name operators as clients, happens to be Gigapower’s prime contractor in Minnesota, CWA noted in its report.
Gigapower's response
A Gigapower spokesperson told Fierce it’s “carefully reviewing” the CWA report to determine if any of the items raised have not already been addressed. The company stated it replaced Tilson as contractor in Chandler and it “continue[s]to hold our selected contractors accountable for safety and quality work.”
“During the timeframe referenced in the report, Tilson served as our General Contractor in Chandler, Arizona. We became aware of issues during this period and immediately invested time, money and effort to improve Tilson’s performance,” said the spokesperson. “As of early May 2025, Gigapower is no longer working with Tilson.”
Fierce also reached out to Tilson requesting comment and will update this story if we hear back. Gigapower meanwhile continues to expand its open access network, recently announcing it completed fiber construction in six states.
“We remain in direct and frequent communication with the City of Chandler to ensure any existing and future concerns are brought directly to Gigapower so that we can address them immediately,” the Gigapower rep added.
Broadband workforce issues
CWA has called to attention several workforce-related issues plaguing the broadband industry, such as declining wages and safety standards as well as an overall “shortage of good jobs.”
Subcontracting is a frequent practice among ISPs, CWA Senior Research Associate Ceilidh Gao previously told Fierce. These companies may rush to finish a project on time, she said, and it’s more difficult to keep third-parties accountable for work conditions.
Albuquerque, New Mexico is another city that’s complained about broadband subcontractor work. The city government earlier this year issued stop-work orders for two operators, Ezee Fiber and Vexus Fiber, as it ramps enforcement of its fiber installation rules. Albuquerque had issued a similar order to Gigapower, but later lifted it after the company “[came] back into compliance.”
For CWA’s part, it’s pushing for more transparency at the state level regarding public information about broadband work, Gao has said.
The revised Broadband Equity, Access and Deployment (BEAD) program probably won’t alleviate workforce concerns, as NTIA got rid of most requirements for labor standards and workforce development. Instead, BEAD subgrantees must merely certify that they comply with federal labor and employment laws.