Recently Verizon closed the door on three of its call centers laying off 3,100 in the process. Now, T-Mobile has closed seven of its call centers resulting in the relocation of 1,400 workers and the dismissal of the remaining 1,900. The latter will be receiving severance pay and outplacement support along with two months of health insurance thanks to COBRA.
Call center in Brownsville, Texas being closed
The nations fourth largest carrier said that the call centers being closed are located in Allentown, Pennsylvania; Fort Lauderdale, Florida; Frisco, Texas; Brownsville, Texas; Lenexa, Kansas; Thornton, Colorado; and Redmond, Oregon. The 1,400 employees being relocated will be divided up amongst the 17 call centers that will remain open. Every employee will have the option of seeing a personal career coach.
Not to make T-Mobile employees in different areas of the company nervous, but the carrier said that it will announce more restructuring changes in May which won't include the customer service representatives in the remaining 17 call centers left open, company technicians in engineering or front line employees in T-Mobile's corporate-owned stores. According to a letter to the carrier's employees signed by T-Mobile CEO and President Philipp Humm, after the restructuring in May is completed, T-Mobile will be an efficient company focused on its customers.
I have difficult news to share today: we are consolidating our call center operations and closing seven of our 24 facilities. This decision was not easily reached, but it is a necessary measure. The reality is our cost structure must be better optimized to match our customer base and call volumes.
The affected Customer Service facilities are Allentown, Pennsylvania; Fort Lauderdale, Florida; Frisco, Texas; Brownsville, Texas; Lenexa, Kansas; Thornton, Colorado; and Redmond, Oregon. The consolidations will result in 1,900 net job reductions. Approximately 3,300 employees at the seven impacted facilities will be affected, and we will begin hiring immediately at the remaining 17 call centers to fill as many as 1,400 positions.
Impacted call centers will remain open for three months following this announcement. Affected customer service representatives will have the option to transfer to any of the remaining 17 call centers. Employees who choose not to transfer and are employed on the date the center closes, will be offered transition packages with severance pay and outplacement support. T-Mobile is partnering with an outplacement firm to provide on-site career centers at all seven facilities. Every employee will have access to a personal career coach and be offered job search training and tools. In addition, T-Mobile will pay for two months of continued health care coverage under COBRA (which is available for up to 18 months for eligible employees who elect this option).
Looking ahead, we will also be restructuring other parts of the company. It is important to note this will not include our customer service representatives in the remaining 17 call centers, technicians in engineering or front line employees in our T-Mobile corporate-owned stores. In other parts of the organization, the majority of changes will be announced by the end of May 2012. Senior leaders are intently focused on making the best possible choices standing on the foundation of our shared T-Mobile Values. The outcome will be an organization that is structured efficiently and closer to the customer. Leaders will share more information as plans evolve.
These are not easy steps to take – or, I know, to read. We must address our business realities so we can focus on getting T-Mobile back to growth.
Our commitment, as we go through this process, is to provide clear perspective and understandable rationale, be forthright in our communications regarding our decisions, and be respectful and compassionate in our treatment of affected individuals.
Thank you for your ongoing commitment and support.