In an internal memo cited by the Journal, Sprint chief financial officer Tarek Robbiati, wrote that cuts “inevitably will result in job reductions”, and that employees must watch every expenditure.
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Sprint CEO Marcelo Claure’s turnaround strategy for the company includes cost reduction, competitive pricing and customers service as well as the improvement of its network quality. That means numerous jobs are about to be lost.
Sprint’s place among the big four United States wireless carriers continues to be a precarious one, with news reports saying the company now aims to reduce its number of employees and cut between $2 billion and $2.5 billion in costs over the next six months.
Sprint employed about 31,000 people at the end of March.
The company has been under pressure to cut costs because of concerns that it was spending too much to acquire and retain customers.
Sprint announced days ago that it will skip a major auction of low-band spectrum, a decision that could push the company further behind its rivals.
The telco insisted that it has no need to acquire new airwaves, claiming that it “has the spectrum it needs to deploy its network architecture of the future”.
VatorNews has reached out to Sprint for confirmation and comment on this report. SoftBank holds more than 83 percent of Sprint. We will update this story if we learn more.
In a statement provided to USA TODAY, Sprint confirmed that is was “likely that a few jobs will be impacted”, adding that it was “premature to discuss the details as we are in the early stages of the process”.
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“We have begun an effort to considerably take prices out of the enterprise so the transformation of the corporate shall be sustainable for the lengthy-time period”, Sprint spokesman Dave Tovar informed Reuters. However, the company said that the cuts are coming in a letter sent out to staff this week.
