This is the secret to T-Mobile's success even as it closes stores and lays off reps and managers
If Verizon wants to take advantage of T-Mobile's vulnerability, this is where t needs to beef up its offerings to subscribers.
T-Mobile is closing COR stores, letting go reps and managers. | Image by PhoneArena
Now that Mike Sievert's replacement as T-Mobile CEO, Srini Gopalan, has two earnings reports behind him, it appears that the new guy is ready to kick the carrier's digital transition to the next level. On social media, T-Mobile reps are talking and what they are saying is not good news for T-Mobile employees and some customers.
Reps are passing along word of layoffs and the closing of COR T-Mobile stores
On Reddit, a T-Mobile rep (or Mobile Expert, if you prefer) with the username Competitive_Ball_385 heard from his assistant manager who shared details about management "getting transitioned out" while the same fate is happening to T-Mobile COR (corporate) stores. Corporate stores are owned by T-Mobile while T-Mobile Authorized Retail locations are owned by third-party companies.
Another rep, Redditor el_salvaje11, confirmed that this is going on with a comment that his "area" has been affected by the layoffs. He adds that multiple RSMs (Retail Sales Managers) have also been impacted. The RSM is responsible for a store's operations, meeting sales targets, and is in charge of the Mobile Experts, while making sure that the T-Life app is being used by customers and reps.
The carrier is taking a hard look at reps who might have committed fraud
One rep said that he heard that employees who abused LOAs (Letters of Authorization) were being let go. This is the legal document that allows one person to take action on behalf of an account owner and is used to allow a new carrier to move a T-Mobile customer's phone number to a new account with T-Mobile or another carrier.
Some reps have been accused of forging signatures on these legal documents to make it seem as though a T-Mobile customer agreed to switch to a new T-Mobile account. This has been done by managers and reps in order to hike their sales performances and help a store or a rep meet certain metrics that their jobs may depend on.
In one rep's area, the talk is that COR stores are being closed and are being replaced by Experience Stores. These stores, found in metropolitan cities and more heavily populated areas, are larger than the typical store allowing the carrier to show off more products using interactive demo stations.
Despite the mess created by the digital transition, T-Mobile continues to report strong quarterly results
This is obviously very bad news for T-Mobile employees, but not necessarily surprising to PhoneArena readers as we have been telling you what to expect from T-Mobile's digital transition. One 23-year veteran at T-Mobile was just let go a couple of days ago. He worked at a T-Mobile Store-in-Store (SiS) which is a kiosk set up inside retail locations belonging to Sam's Club and Costco.
T-Mobile promotes its industry-leading reward program. | Image by T-Mobile
One ME said that half of the SiS RSMs in his area were laid off in the last few weeks leaving only three to handle 12 locations. T-Mobile gave a pink slip to the manager who ran a store where another Redditor worked as an ME.
T-Mobile subscribers should probably expect service inside corporate stores to deteriorate somewhat as reps are let go and the T-Life app takes over doing the tasks that the Mobile Experts used to do.
The secret to T-Mobile's continued success
Ironically, the carrier continues to report great quarterly numbers and much of that, in my opinion, has to do with T-Mobile's unrivaled reward program and perks. T-Mobile Tuesdays remains the absolutely best reward program in the industry and a perk like free MLB TV for the full season by itself is valued at $150.
Other freebies include:
- Netflix on Us.
- Apple TV+.
- Hulu (with ads).
- In-flight Wi-Fi on many domestic airlines.
- AAA membership.
New Verizon CEO Dan Schulman promised to make Verizon more customer friendly, "delighting customers." Verizon will continue to lose postpaid phone subs to T-Mobile despite the mess they have created there because T-Mobile knows how to reward its customers.
So far, since Schulman took over at Verizon last October, I have seen no changes that would delight any Verizon subscriber. I should know since I've been a subscriber for over 20 years. Look, this is the most vulnerable that T-Mobile has been in a long time and Verizon is standing at the plate, letting a big juicy fastball go by for strike three.
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