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12:22 PM PST on Tuesday, March 30, 2004
MCI Monday announced that it is reducing its workforce by 7.4%,
approximately 4,000 employees, as part of its ongoing cost reduction
program. MCI says the 4,000 layoffs are in addition to the 1,700 jobs
MCI cut in January.
The majority of this reduction comes from closing three consumer call
centers and reducing staffing in three others, in large part due to the
effects of "Do Not Call" telemarketing laws.
"As a result of the impact of federal and state Do Not Call laws, as
well as ongoing telecom market trends, we need to take this action in
order to improve our overall cost structure," the carrier said in a
prepared statement. "These actions will in no way impact our ability to
serve our customers."
The centers being closed are located in Denver; CO; Phoenix, AZ; and
Niles, OH. Staffing is being reduced at MCI facilities in Alpharetta,
GA; Colorado Springs, CO; and Springfield, MO.
MCI, formerly known as WorldCom, announced earlier this year that it
expects to reduce costs by 15 to 20 percent.
MCI has let more than 27,000 employees go since it entered Chapter 11
bankruptcy protection in July 2002 after an accounting scandal that
resulted in billions of dollars in overstated profits and criminal
charges against its top executives. MCI expects to emerge from
bankruptcy in April.
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