AT&T cutting 12,000 jobs, books $600 mln severance costs

[UpInArms]

Source: CBS Marketwatch

NEW YORK (MarketWatch) -- AT&T Inc. (T: 29.08, +1.04, +3.7%) said Thursday it'll take a $600 million charge in its fiscal fourth quarter as part of a plan to cut 12,000 jobs, or 4% of the Dallas-based telecommunication giant's work force. AT&T also plans to cut its 2009 capital expenditures over 2008 levels, with a specific dollar figure to be announced in January. "While AT&T is reducing jobs in some areas, it continues to add jobs in other parts of the business -- such as wireless, video and broadband -- to meet customer demand," the company said. AT&T cited economic pressures, a changing business mix and a more streamlined organizational structucture for the layoffs.

Read more: http://www.marketwatch.com/news/story/ATT-cutting-12000-jobs-books/story.aspx?guid=%7B22F4AE5F%2DD6DF%2D4D10%2DB850%2DD15CF7E55E42%7D

[SpiralHawk]

1. More of the putrid fruit of republiconomics. Ptoooey.

[On the Road]

3. Nah, This One Isn't Bush's Fault

It's primarily the local phone business. (Southwestern Bell renamed itself AT&T after acquiring its former parent.) There are fewer landlines every year, and the trend is accelerating.

[SpiralHawk]

5. local phone biz employing republiconthink & republicon biz strategery...

the putrid heart of the matter

[On the Road]

6. Everyone is Going Wireless

That's the heart of the matter. It is a worldwide phenomenon. Believe me, I work on the landline side for another telco and deal with line loss.

[PassingFair]

8. I remember it well. Democrats in the FCC held it off for a year.

http://www.betanews.com/article/Net_Neutrality_Stalemate_on_ATT_Merger/1165266208

Very interesting times.

[MasonJar]

2. I hope that AT&T goes out of business. I wouldn't use them if I had to resort

to carrier pigeons. They are run by unpatriotic, self-serving crooks. I am sorry for any innocent employees, but they were/are working for the wrong company.

[FarCenter]

4. They are run by unpatriotic, self-serving crooks?

Are there any Fortune 500 companies that aren't run by unpatriotic, self-serving crooks?

Why single out AT&T?

[PassingFair]

7. So many reasons....

[midnight]

11. Bingo!

[hendo]

9. I havent used a land line in ages

Yay for Vonage.

[No Elephants]

10. $600 million in severance costs? I wonder how many of the 12,000 employees being terminated had a

right to severance?