AT & T to trim 4% of staff
Citing economic pressures and a changing business mix, AT&T said today that it plans on cutting 12,000 jobs, which represents a 4 percent reduction in its staff.
Dallas-based AT&T said the job cuts will start this month and will continue throughout next year. AT&T also said it plans to reduce its capital spending next year. AT&T said capital plans for 2009 were being finalized now, and specific guidance will be provided when the company releases its fourth-quarter results in late January.
AT&T, which currently has 300,000 employees, said the job cuts would be across the company and across the country, but didn’t provide specifics on what departments or areas will be affected.
AT&T will take a charge of $600 million in the fourth quarter of 2008 to pay severance to the affected employees.
The company eliminated 4,600 jobs in April, but added jobs in other areas throughout this year.
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