A system and method is provided for estimating the T1 timing error and clock recovery errors by processing timing information from the associated pseudowire packet stream(s) from which the T1 is derived. The timing errors are presented as MTIE measurements which are used to present alarms for a Network Operation Control centre and are used to accurately alarm error conditions where the regenerated or derived T1 signal does not meet MTIE or clock accuracy errors. This alarm is intended to detect conditions of excessive packet jitter, wander or phase transients which may exist in the data network over which the pseudowire stream is transported. In another aspect, the errors are used to control the regeneration of the T1 clock information.