Ericsson said it will continue to cut jobs after it posted an 11 percent year-over-year drop in net sales during the second quarter and a hefty 26 percent slide in net profit. And some of those jobs will be in the U.S.
Nokia plans to cut thousands of jobs globally including a reported 1,300 positions in its homeland of Finland as part of an effort to save more than $1 billion in the wake of its recent acquisition of Alcatel-Lucent.
Sprint named one of its top executives, Jaime Jones, as area president of the South as part of the carrier's shift to a regional sales organization. Sprint also named industry veteran Annette Jacobs as president of the Pacific Northwest region, part of its larger West region.
Sprint is going to shake up its sales organization and move to a model in which it has four regional hubs and sales teams focused on 19 key markets as opposed to focusing on different types of customers like postpaid and prepaid. The changes, which will likely be implemented in early 2016, come as Sprint is preparing to slash thousands of jobs as part of a major cost-cutting initiative designed to save the company up to $2.5 billion.
Sprint is in the middle of its turnaround but has a lot of cause for optimism, according to CFO Tarek Robbiati, who promised that the carrier will continue to make improvements in churn and its network.
Sprint plans to cut thousands of more jobs as part of its effort to slash at least $2 billion in operating expenses from the business, according to Sprint Chairman and SoftBank CEO Masayoshi Son. Sprint CEO Marcelo Claure said he has been very direct with employees about the need to slash costs in a bid to get back to profitability, something Sprint hasn't really achieved in 11 years.
Sprint reported that it gained postpaid handset customers on the Sprint network in the third quarter, the first time it had done so in a full quarter in more than two years. The company is on the verge of cutting billions of dollars in expenses in a bid to get back to profitability, and Sprint CEO Marcelo Claure and his leadership team think they are at a turning point in the company's turnaround.
Sprint is starting to slash costs as part of a broader effort to cut $2.5 billion in expenses. The carrier expects to provide more details on the looming layoffs associated with the cost-cutting as well as its network densification plans when it reports quarterly earnings tomorrow.
Verizon Wireless plans to cut management positions as it consolidates its regional offices to speed up decision-making and get employees closer to customers. However, it's unclear how many layoffs will come as a result of the changes.
Sprint is looking to cut costs multiple ways and is doing so in part but cutting severance pay in half for employees notified after Jan. 30, 2016, that they will be laid off.