T-Mobile Announces , Massive US Layoffs .
T-Mobile Announces , Massive US Layoffs .
On August 24, T-Mobile announced plans to cut 5,000 jobs in the United States, reducing the company's workforce by about 7%.
On August 24, T-Mobile announced plans to cut 5,000 jobs in the United States, reducing the company's workforce by about 7%.
NBC reports that the news comes as the wireless carrier struggles with rising costs and a competitive market.
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NBC reports that the news comes as the wireless carrier struggles with rising costs and a competitive market.
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Over the last three quarters, T-Mobile has been amassing subscribers looking to purchase cheaper plans through discounted bundles.
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However, NBC reports that offering these discounted subscriptions has taken a toll on the carrier's profits.
What it takes to attract and retain customers is materially more expensive than it was just a few quarters ago, Mike Sievert, T-Mobile CEO, via letter to employees.
What it takes to attract and retain customers is materially more expensive than it was just a few quarters ago, Mike Sievert, T-Mobile CEO, via letter to employees.
T-Mobile CEO Mike Sievert said that the layoffs targeting corporate and back-office roles will take place over the next five weeks.
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T-Mobile CEO Mike Sievert said that the layoffs targeting corporate and back-office roles will take place over the next five weeks.
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According to Sievert, the layoffs will not impact the carrier's retail and consumer care divisions, but will extend to some technology jobs.
According to Sievert, the layoffs will not impact the carrier's retail and consumer care divisions, but will extend to some technology jobs.
NBC reports that the wireless carrier expects to face a third quarter pretax charge of approximately $450 million.
NBC reports that the wireless carrier expects to face a third quarter pretax charge of approximately $450 million.
Sievert said the company will look to improve efficiency and cut costs by implementing more centralized models.
Sievert said the company will look to improve efficiency and cut costs by implementing more centralized models.
In July, T-Mobile said it expected to see wireless subscriber net additions somewhere between 5.6 and 5.9 million.
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In July, T-Mobile said it expected to see wireless subscriber net additions somewhere between 5.6 and 5.9 million.
