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Sprint says "You're Fired" to 4,000 employees

Sprint Nextel is currently struggling to maintain its subscriber base and profitability. Many see the waning popularity of the Sprint Nextel service as a side effect of poor customer service among other things.

DailyTech reported last week that Sprint was considering layoffs for some of its employees and a consolidation of executives into its Sprint headquarters in Kansas. The rumor last week was that Sprint was considering a layoff of around 2,000 employees in addition to the executive consolidation.

The Wall Street Journal reports that Sprint released its plans and intends to cut 4,000 jobs and close 8% of its stores across the country. This move will save Sprint, who is currently the number three cellular provider in the U.S., up to $800 million USD a year.

In addition to 4,000 employees losing their jobs, three of Sprint’s top executives were ousted as well. Chief Financial Officer Paul Saleh, Chief Marketing Officer Tim Kelly and president of sales and distribution Mark Angelino are stepping down.

The Wall Street Journal also reports that Senior Vice President and Controller William Arendt will step in as interim CFO. Sprint Chief Executive Dan Hesse said, “Permanent leaders will be named in conjunction with a review of overall strategy and an effort to streamline operations. I have no predetermined timeframe in filling these positions but plan to act as quickly as possible as I consider both internal and external candidates."

Rumors circulated last week that Sprint might be considering a cut back of its newly announced WiMAX service dubbed XOHM to help cut costs. Sprint did not comment on if that would still happen.



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RE: Easy Fix...
By pomaikai on 1/24/2008 4:50:57 PM , Rating: 2
We switched from sprint several years ago because there coverage was horrible. We contacted them several times and they finally offered us a better phone when we called to cancel our contract. By that point we had just signed a contract with verizon and have been happy ever since. Will never go back to sprint and most customers that leave isnt because of price it is because of horrible service and coverage. Those people dont just one day decide to switch back to try it again.


RE: Easy Fix...
By FITCamaro on 1/24/2008 5:00:38 PM , Rating: 2
I used to work for Sprint back in college and did all I could for people. If we simply just didn't offer reception in their area, I told them. Had many customers call my boss to say I did a great job. Heck I was even offered a job due to my professional attitude.

One thing I definitely like about Sprint over any other company, is that when leaving a voicemail, you can hit 1 to skip all the computer BS crap and just leave your message. With everyone else you have to sit there and listen to it all before you can leave your message which is like 30 seconds long.

I'll be sticking with Verizon for now because my entire family and all our friends use it. If we all ever decided to switch, then I would go back to Sprint. I've also got no real complaints with Verizon either. We'd have stayed with Sprint though if it weren't for just not getting reception in my parents house. I could get it in concrete buildings, under buildings, in elevators, etc. Just not there.

Only my sister uses AT&T because they work out in the middle of nowhere where I never go. Her and her husband go to a lot of tiny towns though since they run an animal show that travels the country. Sprint and Verizon just don't work out there.


RE: Easy Fix...
By eye smite on 1/24/2008 5:01:49 PM , Rating: 3
I worked for the outsourcing company that handled Sprint celphone customer service and tech support and said outsourcing company is no longer in the callcenter business. Working for them for 3 years and seeing the train wreck they made of things, I can completely understand why Sprint is having the same kind of train wreck.


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