An integrated voice and data network includes a multiplexer arranged with a voice queue for storing voice packets and a data queue for storing data packets. Voice packets are transmitted for a predetermined interval T1. Data packets are transmitted for a predetermined interval T2. The predetermined intervals T1 and T2 may be of different durations. A separate signaling queue can be provided for storing received signaling messages. If a signaling message is moved into the separate signaling queue during either interval T1 and T2, that interval is suspended and the transmission of voice or data packets is interrupted until the entire signaling message is transmitted. Then the interrupted voice or data transmission is resumed for the remainder of the suspended interval T1 or T2. As an alternative, signaling messages can be transmitted during predetermined intervals between the intervals T1 and T2. Block dropping of low order voice bits also is described for reducing congestion at the node. The multiplexer guarantees a certain minimum bandwidth for voice traffic and data traffic. Concurrently, the multiplexer allows each type of traffic to utilize any spare bandwidth momentarily available because it is not being utilized by the other type of traffic. Signaling messages are serviced with very low delay and zero packet loss.