T-Mobile announced Thursday that it will close seven of its 24 call centers, but not the one in Wichita.
The wireless company is closing a call center in Lenexa.
The consolidation may be good news for some areas because, although the company will lay off 3,300 workers at the seven call centers, it plans to hire up to 1,400 new workers at the remaining call centers.
“Concentrating call centers is an important step to achieve competitive cost structures to successfully compete … in the wireless market,” Philipp Humm, CEO and President of T-Mobile, said in a statement. “These are not easy steps to take, but they are necessary to realize efficiency in order to invest for growth.”
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The centers will close in three months. The company is offering those employees a choice of transferring or taking a severance package that includes job-search training and two months of health care coverage.
T-Mobile will also restructure its operations by the end of June. These moves are part of T-Mobile’s Challenger strategy, announced in February, which includes a $4 billion modernization of its network and launch of 4G LTE technology in 2013, plans to revitalize the T-Mobile brand, and 1,000 new business sales positions.
T-Mobile is the nation’s fourth-largest mobile network and has suffered in the face of intense competition from Verizon, AT&T and Sprint. It is also now the only one without the iPhone, which cost it 800,000 subscribers in the fourth quarter of last year alone. Its owner, Deutsche Telecomm, tried to sell the company to AT&T. The last deal fell apart in the face of federal anti-trust concerns.
In addition to Wichita, the 16 centers that will remain open are in: Oakland, Maine.; Richmond, Va; Nashville, Tenn.; Chattanooga, Tenn.; Charleston, S.C.; Augusta, Ga.; Tampa, Fla.; Birmingham, Ala.; Mission, Texas; Albuquerque (two centers); Salem, Ore.; Meridian, Idaho; Bellingham, Wash.; Colorado Springs; and Springfield, Mo.
The following call centers will close: Allentown, Pa.; Fort Lauderdale, Fla.; Frisco, Texas; Brownsville, Texas; Thornton, Colo.; Redmond, Ore.; and Lenexa.