T-Mobile US has announced to reduce its workforce by nearly 5,000 positions, which accounts for approximately 7% of its employees in the United States, Reuters reported.
This move comes as the telecommunications giant addresses the challenge of elevated expenses related to customer acquisition.
Over the course of the next five weeks, T-Mobile plans to carry out these job reductions, focusing on roles within the corporate, back-office, and certain technology departments.
CEO Mike Sievert conveyed this information to staff through an email communication.
It's important to note that the retail and consumer care sectors will remain unaffected by these adjustments, as clarified by the company.
In anticipation of these changes, T-Mobile foresees an estimated pre-tax cost of around $450 million during the third quarter.
In early trading, the company's shares experienced a decrease of approximately 0.4%.