T-Mobile cutting its workforce by nearly 7%
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T-Mobile (NASDAQ:TMUS) has told employees it is cutting the workforce by nearly 7%.
"Starting this week, and over the next five weeks, we will be making changes to our organization that will result in the reduction of some positions at the company," CEO Mike Sievert mailed workers.
"These shifts will impact close to 5,000 positions, a little under 7% of our total employees in locations across the country, primarily in corporate and back-office, and some technology roles. The retail and consumer care experts who take care of our customers will not be impacted," he added.
After that, Sievert said, he didn't envision more widespread reductions "in the foreseeable future."
"What it takes to attract and retain customers is materially more expensive than it was just a few quarters ago," Sievert said in the employee mail, adding that the company's been outrunning the trend with the help of accelerated merger synergies. "However, it is clear that doing everything we are doing and just doing it faster is not enough to deliver on these changing customer expectations going forward."
T-Mobile (TMUS) estimates it will incur a pretax charge of about $450M in the third quarter tied to the cuts; it's reiterating full-year guidance, however.

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