Cingular reduces workforce by approximately 2,500 to 3,000 positions; reorganizes sales organization, shifting to a channel-based model

August 20, 2002

2 Min Read

ATLANTA -- Cingular Wireless today announced a reorganization of its workforce aimed at better serving customers in today's segmented marketplace. This will result in a reduction in Cingular's overall workforce, eliminating approximately 2,500 to 3,000 positions. It is anticipated that more than one third of the reductions will be accomplished through the elimination of temporary positions and normal attrition of regular employees. "Cingular was formed two years ago from eleven different brands," said Stephen Carter, President and CEO of Cingular. "In that time, we have learned how we can operate more efficiently and more effectively. Cingular is one of the few profitable major wireless companies in the United States, and we are making these moves to position the company for continued profitable growth." The first department at Cingular to announce its reorganization plans is sales operations. The change shifts the company from its previous geographic focus to a channel-based effort aimed at natural sales groupings -- business to business, national retail operations, and agent and company-owned retail stores. The move will make the company more responsive to the market, and will bring significant operating efficiencies to the nation's second largest wireless carrier. "Our new sales structure puts us closer to the customer, enables a quicker response to customer needs and does it at a lower cost," said Bob Shaner, president of Cingular's wireless operations. "The goal is to continue to provide customers the best value and service by creating the most efficient organization in the industry." Cingular will also reduce the number of employees in other departments including marketing, network, finance and human resources. Details of those plans will be provided to employees later this autumn. The cuts will be spread throughout the United States and Puerto Rico, and not concentrated in one specific geographic region. Cingular Wireless

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