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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: haha
By ice456789 on 1/25/2008 4:14:47 PM , Rating: 3
When I decided to leave Sprint I broke all the rules. In other words, I did what was right, what was ethical, and what was in the best interests of Sprint AND the customers. I threw out all the scripting, I put zero pressure on my guys to sell, and I removed ANY pressure on giving credits. I decided to leave about 2 weeks before I actually gave notice, so for about a month any customers who were lucky enough to get my team on the phone got something they couldn't get anywhere else at Sprint... AMAZING CUSTOMER SERVICE. Our average customer satisfaction score went up about 40%. It's so simple, if they want to fix their customer service problem instead of paying IBM to consult them and institute tons of guidelines, just let the reps do their jobs. Sure, you might not sell as much but at the same time you are not paying millions to IBM to fix your image.


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