U.S. carrier Sprint has gone into cost cutting mode as indicated in 2015 and has laid off 2,500 people in a bid to turnaround its business.
Earlier in November 2015, we reported that Sprint was looking to reduce its workforce in a bid to cut down on operating expenses by $2.5 billion.
The company's spokesperson Dave Tovar did not give specifics on the number of employees who would be given the pink slip as it was too soon in the budgeting process.
"We are leaving no stone unturned and looking at all areas," noted Tovar at the time.
Now true to its promise, the network operator has reduced 8 percent of its workforce since fall 2015. The cost cutting exercise saw 2,500 employees in six customer service care centers in the U.S. bear the brunt of the Sprint decision.
Reportedly, last week Sprint alerted the affected employees that it would be reducing the workforce in these centers or rendering them inoperable completely. The network operator has shut down four call centers, whereas the employee strength in two has been scaled down.
"Sprint Corp has axed at least 2,500 jobs across six customer care centers and its Kansas headquarters as part of its plan to cut $2.5 billion in costs, a company spokeswoman said on Monday," reports Reuters.
This is not the first time Sprint has axed employees. In 2014, the U.S. carrier reduced 2,000 jobs. At the beginning of 2016, Sprint accounted for 33,000 employees.
Sprint's spokesperson Michelle Boyd has said that of the 2,500 people who have been laid off, 574 people axed occupy positions at the company's headquarters in Overland Park, Kansas, and the remaining are from customer service.
The call centers which have been shut down are located in Texas, Virginia, Tennessee and Texas. The service centers where job cuts have occurred are the Overland Park and Colorado.
Sprint informed the affected employees about the layoff through email. The network operator intended to give the notices to its employees prior to Jan. 30 as the company would be reducing the severance package after this date.
For those wondering why Sprint primarily axed employees in its customer care centers, the carrier's customers are increasingly deploying the Sprint Zone app to address their queries. Moreover, subscribers are also using online facilities to address their questions and needs. Therefore, the spokesperson revealed that the nearly 2,000 job cuts in customer care were made, as well as the decision to close four of the call centers,
It is still unclear if Sprint is eyeing more layoffs in the coming weeks.