Posted on 03/26/2004 5:09:54 PM PST by El Conservador
McLEAN, Va. - Bankrupt telecommunications company MCI said Friday it is cutting 4,000 jobs more than 7 percent of its work force and closing three call centers because of cost-cutting pressures and fallout from the national Do Not Call registry.
The company had announced in January that it was expecting to reduce overall costs by 15 percent to 20 percent, but did not mention specifically that jobs would be cut.
The centers being closed are located in Denver, Phoenix and Niles, Ohio. Jobs are also being reduced at MCI facilities in Alpharetta, Ga., Colorado Springs, Colo. and Springfield, Mo.
"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 company said in a statement. "These actions will in no way impact our ability to serve our customers."
MCI, formerly known as WorldCom, is hoping to emerge from bankruptcy protection by the end of April. It entered bankruptcy in July 2002 after an accounting scandal that resulted in billions of dollars in overstated profits and criminal charges against its top executives.
MCI employs about 54,000 workers. In Phoenix, about 850 workers will lose their jobs. In Denver, about 950 will be laid off and 650 workers will be laid off at the Niles call center, according to the company. Layoff numbers for the other three centers were not available.
The cuts will take effect in May and June.
MCI still operates 15 telemarketing and customer-service centers across the country, a company official said.
MCI has sought to reduce its annual costs by 15 to 20 percent while in bankruptcy. Earlier this year, the company announced that it expects revenue to drop 10 to 12 percent in 2004 including a drop of as much as 25 percent in the domestic long-distance market, where MCI is the nation's second-largest provider. Company officials said increased use of cell phones, industry competition and effects from national Do Not Call legislation all contribute to the decline.
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On the Net:
www.mci.com
I have 4 numbers registered with their CallerID system, including my work/cell numbers, so I just speeddial the 800# and enter the number I want to reach.
If on the road I just enter my PIN in addition; no big deal. Over 2 years with them now; no hassles.
Long-distance rates are headed asympotically toward zero; the big lazy companies just haven't figured it out yet. I can't believe anyone pays 10c/min or more PLUS a monthly fee.
I made the unfortunate mistake of choosing MCI to handle my company's long distance. BIG mistake. MCI would mysteriously transfer a few random lines into a high rate $1.89 a minute call and would fight me to fix it. I think they thought our company was large enough no one would notice. It took months to get a credit. The first time I thought it was a mistake, twice I realized they were thieves.
I moved all long distance service off MCI and to new carriers and good riddance.
They do so demand. Why do you think unlisted numbers are so popular?
And why shouldn't business be held to the same standards as private citizens? If you started calling me at all hours I can have you charged with stalking and harassment. However if a company does the same thing I must pay to keep them away?
There is no justice in that. I have the right to live free from telephone harassment just as I have the right to not allow certain people in my home.
I also have a door. Does that mean that you have the right to come knocking?
If I called you at all hours that is harassment.
Yep.
If I call you once during dinner, it is not.
But they don't call just once. That is the problem. They were calling me two or three times a day. I would be willing to give them one chance to call me if they would be willing to agree to let my "No" stand. But they are not willing to do that. I don't know why as they have assured by their actions that I will never ever buy or use their product and that I will tell other people just what a rotten bunch they are.
But apparently endless harassment must work with some people otherwise they wouldn't be doing it.
I see the BIG picture -- in the true context of history. We don't need people to light gas street lamps or make buggy whips any more. Things change. Adapt.
If you can't adapt, don't whine; because whining isn't going to help.
< whiny voice> But he started it!< /whiny voice>
If you put up a door with the expectation that anyone can use it, yes. That is what phone service is all about, anyone can call anyone. Once you get the government involved, you have turned phone service from an overregulated mess into a government controlled entitlement, a step in the wrong direction.
But they don't call just once. That is the problem. They were calling me two or three times a day. I would be willing to give them one chance to call me if they would be willing to agree to let my "No" stand.
That's unfortunate but there's market solutions to simple problems like that. If phone companies were allowed to cut off calls from known obnoxious call centers, they would and gain customers who liked that service. The problem is that the state regulators don't allow any meaningful competition in wired service so such competition has taken place in wireless service. That's one of the reasons I signed up for a cell phone (although I admit the regulators banned unsolicited calls to them in many cases long ago). But the principle is that if air time is valuable (both to me and the cell company) they aren't going to let it go to waste on unwanted traffic and they will block those callers from coming onto their network.
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