SBC, AT&T to Cut More Jobs

The companies say they'll trim some 10,000 positions on top of ongoing cutback programs.
Author:
Publish date:

SBC (SBC) and AT&T (T) - Get Report executives said Tuesday that the companies plan to cut about 5% of their combined workforce once the deal closes.

About 10,000 job cuts will come from overlapping operations, according to executives hosting an analysts briefing Tuesday in New York. Would-be acquirer SBC says the departure of redundant workers will contribute 60% of the total cost savings expected with the merger.

The companies didn't give a specific time frame for the cuts. SBC, AT&T and SBC's wireless joint venture

Cingular

have previously announced job cuts going on this year.

SBC will cut about 10,000 jobs this year and AT&T expects several thousand employees will leave the company in 2005 as part of an earlier announcement.

At the beginning of the year, AT&T had about 47,000 jobs and SBC had a staff of about 163,000.

AT&T shares were down 2 cents to $19.17 and SBC rose 21 cents, or 1%, to $23.97 in late afternoon trading.