Utility Workers Fought American Water Cease-and-Desist
Union leaders and utility operators are clashing over the disclosure of historical rate data during asset sale negotiations.
Updated on Sept. 28, 2026 in Utilities
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American Water has issued a cease-and-desist letter to the Utility Workers of America to halt the distribution of data regarding past rate hikes. The union claims the company aims to suppress information ahead of a potential sewer system sale in Wilkes-Barre.
Why it matters
The conflict highlights the stakes for municipal operators evaluating asset sales, as historical rate data becomes a point of contention in collective bargaining and public negotiations. Understanding these patterns is essential for managers analyzing long-term cost implications for residents.
Residential water revenue grew by nearly 45% and wastewater revenue per customer by 108% from 2019 through 2025. American Water has also successfully negotiated approximately 70 collective bargaining agreements since 2024.
The players
American Water
A publicly traded water and wastewater utility operator that manages systems across multiple states.
Utility Workers of America
A labor union representing utility workers that negotiates collective bargaining agreements.
James Slevin
The national president of the Utility Workers of America involved in labor disputes.
The details
American Water engaged a law firm to stop the union from disseminating fliers that detailed the company's past rate increases to Wilkes-Barre officials. The union, which represents thousands of employees, argues the company is attempting to block public transparency regarding price hikes that have historically tripled in areas like York following rate freeze expirations. Conversely, the company asserts these communications interfere with ongoing labor negotiations.
Timeline
2001: American Water purchased the Coatesville sewer system.
2016: American Water purchased the Scranton wastewater system.
2021-2026: The company secured five approved statewide base rate hikes.
September 21, 2026: A law firm sent a cease-and-desist letter to the union.
September 28, 2026: James Slevin communicated with Wilkes-Barre officials.
Market Landscape
The dispute underscores the persistent tension surrounding municipal utility privatizations, notably following the 2016 acquisition of the Scranton wastewater system. This conflict serves as a benchmark for how labor groups and utilities navigate public disclosure during system sales.
Operators involved in similar asset evaluations should factor historical bill increases into long-term financial planning for local infrastructure. Managers should prepare for heightened transparency demands during any public sector utility transition.
The takeaway
The tension between corporate legal strategy and labor advocacy provides a clear indicator of how rate hike data is used to influence municipal policy. Operators should track the Wilkes-Barre council vote as a signal for how similar asset sales are handled in their own jurisdictions.
Further reading
For broader context on current industry shifts, see Utilities.
Source note: This article includes information reported by Wilkes-Barre Citizens' Voice.
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