I can't see why Squad Wars was not yet implemented...
It's all about creating scheduled sessions at predefined hours (maybe in a new server, possibly administrated by other people than Z's staff, what about it?); these sessions should be obviously accessed by the players by using passwords previously determined and distributed by the Squad leaders...
Its more about
organization than
coding, though. Coding the game itself would be no more than placing an entry menu to address the player to this different server and game type; the most part of the coding work would be aimed to the server itself (feel free to correct me if I'm wrong)...
In this system, all the work necessary to equalize red and blue players and to choose who would take part on each battle should be made by the Squad leaders - no code necessary to this matter...
Again: I am quite sure that this feature is simpler than it looks from the coding perspective (I used to do some coding in old 90's...). So, the real "hard" part of this task is to get a decent server bandwidth. Am I wrong? Please, let me know.
Oh, and please, give us local wifi multiplayer too...