Sprint is cutting 14 percent of its workforce, about 8,000 jobs, in a plan to slash labor costs by $1.2 billion a year, reports Reuters. The savings will go toward paying down its $600 million debt due in May and another $2.4 billion due in 2010.
It appears no one is safe as cuts will affect all levels of the company and various geographies. The company says most of the cuts will occur by March 31.
According to the Associated Press, Sprint also will stop paying 401(k) retirement matching funds, extend a freeze on salary increases and put its tuition reimbursement program on hold.
In November, the company said its wireless subscriber base fell by 1.3 million. Shortly after that announcement, Sprint said it would close a number of call centers as part of its cost cutting efforts.
original post by KaraReeder of ITBusinessEdge
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