I'm just curious now after hearing we are about to get hit with a 40% reduction.
Last year there were massive outsourcing deals, voluntary early retirement offers and involuntary workforce reductions. I never did hear the final tally of what that equated to percentage wise overall. Does anyone know?
Some of the reductions last year were 'rebadging' actions. To what extent, I have no idea but I know a lot of people that were rebadged.
The announcement said there will be large reductions in contractors, so I wonder if these will be included in the $1.6B in labor savings. Not that it's any better (they don't even get severance for years worked here).
About tree fiddy.
VP meetings have been stating 42% is being surplussed under Andre Feutch
wonder how many college hires they added after go rid of the people with pensions.
I wonder what the natural attrition rate would be over next few years? In my region it would appear that 90% of employees have between 20 to 40 years service. I’d bet there would have to be a natural attrition rate of 3 or maybe even 4% a year as people retire. Just curious if that gets factored into the cost savings projections? If they actually makes cuts in the 4th level and above they’d save more by cutting less... just a thought
You can look at numbers reported to investors each quarter, looks like we went down between 7 & 8% in one year but it was a pretty even spread last time. I’ve heard it will be more targeted towards under performing segments of the company but everyone will be impacted to some degree. They have publicly announced 1.6 billion in reductions this year on the road to 6 billion over next 3 years. If you do simple math of 1.6 billion divided by 100k per employee (includes salary, insurance, 401k match) it comes out to about 7 or 8% of the current 244,000 employee head count. 40% all at once seems like a lot, you are talking about 100k employees... although 6 billion in savings would be around 60k employees over 3 years.
Not going to be 40% of total T employees, no. But yes - I did hear 15-40% under Summers, and no indication that will be spread over 3 years.
There are about 7% fewer employees today vs a year ago. Here are the numbers from AT&T's 1Q earnings report:
Q/Yr Employees
1Q19 262,290
2Q19 257,790
3Q19 251,840
4Q19 247,800
1Q20 244,490
Source: https://investors.att.com/~/media/Files/A/ATT-IR/financial-reports/quarterly-earnings/2020/Copy%20of%201Q20_Trending_Schedule.pdf
It will not be 40%, it may end up adding up to 40% over a few years however.