Sprint (NASDAQ: S) one of the largest cellphone carriers in the nation, has now started laying off an undefined number of employees, from different teams. Six weeks ago, new Chief Executive Office, Marcelo Claure, was appointed at Sprint, and soon he started firing its people from the job. Sprint was having more number of call drops, and sluggish network that eventually ends in losing its customers. With these layoffs, the company is trying to compete with the AT&T and Verizon.
“We’re still working through the details so exact numbers, and locations are not available at this time,” Sprint spokeswoman Roni Singleton said in an email on Friday.
According to another spokesperson, Scott Sloat said, “the layoffs will specifically target employees in IT, network and technology groups that have been working on the company’s Network Vision upgrades. The initiative, launched more than three years ago, involved improving their CMDA network, shutting down the iDEN network launching LTE service on the 1900MHz spectrum.”
The company is going to lay off more employees till October; however, not only employees but also the managers in the company are being sent to home forever. Sprint is providing them with a termination letter that ends their service in the company.
“Because the overhaul is mostly complete, Sprint is adjusting its staffing needs accordingly,” Sloat said.
Company said that it would book a $160 million charge in its fiscal second quarter to cover this round of layoffs. Sprint will complete most the charges by the end of this month and may take more charges for future job cuts.
Sprint is continuously facing pressure from its rival companies, including Verizon and AT&T as they have placed the Sprint on third position in the nation.
Sprint’s new owner, Softbank of Japan, already replaced the CEO Dan Hesse with Marcelo Claure in the month of August. One of the first things CEO promised to do is to review every dollar that is being spent by the company.