American multinational telecommunications company, AT&T is considering laying off more than 3,400 technicians and clerks in the US. The American wireless carrier has shared its plan to cut jobs with its labour union, Communications Workers of America (CWA). All impacted employees will be given severance pay and health insurance coverage for up to six months.
In addition to these job cuts, AT&T is also expected to close down more than 250 AT&T Mobility and Cricket Wireless stores. This will mean that about 1,300 retail employees will also lose their jobs. While the Company has said that the retail employees being laid off will be offered other roles or jobs within the Company, CWA seems unconvinced.
Interestingly these layoffs are being planned at a time when the Company is focussing on 4G and 5G network expansion in the US.
The Union is surprised that during such challenging times, when AT&T can collaborate with its workforce to help the nation recover by working on next- gen networks, it is only contributing towards unemployment and recession.
According to CWA, AT&T appears to prefer employing low-paid contractors who are inadequately trained and have little experience or sense of commitment.
Given the circumstances, it is not surprising that the CWA alleges that the money AT&T is saving, is going to its rich shareholders who are only interested in short-term gains.