US telecom Sprint Nextel cuts 8,000 jobs
telecommunications Communicating information, including data, text, pictures, voice and video over long distance. See communications. firm Sprint Nextel Sprint Nextel Corporation (NYSE: S) is one of the largest telecommunications companies in the world. With 55 million subscribers, Sprint Nextel operates the third largest wireless telecommunications network in the United States (based on total wireless customers), behind said Monday it would slash about 8,000 jobs in a first-quarter belt tightening aimed at saving 1.2 billion dollars.
The job cuts will affect all levels of the company and most will be completed by March 31, the cell phone operator said in a statement.
"The labor cost reductions are the latest action in the company's efforts to make its cost structure more competitive in the industry and to remain financially secure in a challenging economic environment," the company said.
The reduction in headcount includes some 850 positions expected to be eliminated under a voluntary separation plan begun late last year.
Sprint Nextel currently employs 56,000 people worldwide, a spokesman said.
Sprint said it expected to take a charge of more than 300 million dollars in the first quarter of 2009 for costs related to the headcount reduction.
As part of the cost reductions for 2009, the company suspended sus·pend
v. sus·pend·ed, sus·pend·ing, sus·pends
1. To bar for a period from a privilege, office, or position, usually as a punishment: suspend a student from school. matches for 401(K) pension plans, extended a 2008 freeze on annual salary increases and suspended tuition For tuition fees in the United Kingdom, see .
Tuition means instruction, teaching or a fee charged for educational instruction especially at a formal institution of learning or by a private tutor usually in the form of one-to-one tuition. reimbursement Reimbursement
Payment made to someone for out-of-pocket expenses has incurred. .