2023 has been a year in which many tech companies had to lay off their workforce. The T-Mobile layoffs 2023 join the list, too, as the company announced that it will be parting ways with 5,000 workers.
T-Mobile is reducing its workforce by around 7 percent, affecting approximately 5,000 positions at the company. This move will primarily impact employees in corporate, back-office, and technology roles, while those in retail or customer care positions will not be affected.
Similar to other telecom companies like AT&T and Verizon, T-Mobile is dealing with layoffs. However, T-Mobile had previously pledged to create more jobs after merging with Sprint in 2020. Despite this promise, the company laid off hundreds of employees shortly after the merger.
A report from The Wall Street Journal in 2021 revealed that T-Mobile had 5,000 fewer employees by the end of 2020 compared to before the merger with Sprint.
T-Mobile layoffs 2023 explained by the CEO in a memo
CEO Mike Sievert wrote in a memo to employees that the cost of attracting and retaining customers has increased significantly in recent quarters.
He mentioned that the company’s current strategies are insufficient to meet evolving customer expectations. In addition to the job cuts, Sievert stated that T-Mobile will need to reprioritize its tasks and make the most of its funds due to rising expenses.
As noted by Sievert, T-Mobile doesn’t anticipate any more companywide layoffs in the near future.
The company will complete the layoff notifications by the end of September. Impacted employees will receive severance pay based on their tenure and 60 days of minimum transition leave. Here is the full memo by the CEO, Mike Sievert.
T-Mobile data breach 2023: The telecom giant got hacked eight times in the last six years
In the current year, T-Mobile has experienced two data breaches, adding to several other cybersecurity incidents from previous years.
T-Mobile is also focusing on enhancing its 5G services, including the introduction of a faster 5G network with speeds of up to 3.3Gbps. Additionally, they’ve launched a new Go5G plan priced at $100 per month, which provides yearly phone upgrades.
“In a company as successful as ours, the time to challenge the status quo and write the next chapter, is WHILE we are still successful. That’s how we sustain it. Instead of just taking the model that we know and trying to run faster, we can take it to the next level. We know the work ahead of us will look different than the work behind us, and that means how we do the work needs to change, too. We need to move at the speed of technology, using data, AI and other tools, to deliver simplified digital experiences specifically curated for every customer,” said Sievert.
T-Mobile layoffs 2023 join the list
In 2023, many companies laid off a significant amount of workers. This year, there were many tech employees who were left in limbo and without a job. After the pandemic, many companies had to streamline their business due to uncontrolled growth and unpredictable costs.
The T-Mobile layoffs 2023 have just joined the list, and hopefully, the list doesn’t get any longer this year.
In recent months, numerous tech behemoths have let go of hundreds or thousands of their employees. In order to simplify their businesses, corporations like Amazon, Meta, Alphabet, Disney, and many more let go of many of their employees.
The major reasons for these calls right now are the current economic situation and the unaccounted-for recruitments before and throughout the epidemic.
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