Pros
Positive (for the most part), flexible working environment. It is a big company, but you can focus on your individual group. Comraderie and team-work are strong in my group. My boss is great. We work hard, but the work is interesting and fun (yes, it's true). When I need to take time off, or work from home, there is a great deal of flexibility. There are some very smart people at this company, which is what makes it fun. Pay and benefits appear to be in-line with the industry. Increased the number of vacation days -- nearly 20 days to start!
Cons
Ongoing layoffs and financial difficulties. Some turmoil remains. Stock price is in the toilet. There are still a lot of differences/tension between the Lucent and Alcatel worlds. We seem to be losing the technology battle in wireless (esp. UMTS), but I management is taking it very seriously. Any company the size of Alcatel-Lucent is going to have some issues, of course. Our cafeteria is not great (does that matter)? Lots of outsourcing happening (e.g., HR, Finance and IT) which causes some problems. Can no longer just go to a different part of the building to talk to the person who can help you.