AT&T Cuts 500 Corporate Jobs

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AT&T Broadband is looking to shave about 500 corporate-headquarters jobs
from its payroll this week as part of a management shift that will give more
power to executives in the field.

The cuts will constitute approximately 12 percent of the MSO's 4,400
employees at its headquarters in Englewood, Colo.

AT&T sent out an electronic mail Monday to all of its corporate employees
explaining the changes and the cuts. Employees affected will meet with their
supervisors Tuesday or Wednesday.

The affected employees will stay at their posts through February and will
receive full pay and benefits through March, although some may have the
opportunity to transfer to field-operations jobs.

Another 2,000 Denver-based employees in field operations will not be
affected, according to the company.

Company executives stressed that the restructuring is not related to the
pending merger with Comcast Corp., expected at the end of this year.

Instead, they said, it is aimed at improving customer relations and
decentralizing the administration, giving more responsibility to executives who
oversee individual markets.

'The senior VPs [vice presidents] in the field going forward will own
responsibility for delivering results -- whether those are results in areas like
customer care, which we know as a company we need to get better at, or financial
results,' AT&T Broadband chief operating officer Ron Cooper said.

'They are also responsible for employee relations,' he added. 'So decisions
about how best to meet our obligations in areas like customer care will be made
by the field senior VPs. Now, will they draw on expertise that we have here at
corporate? That's certainly our hope and expectation. But the bottom-line
responsibility rests with the senior VPs in the field.'

The resulting cuts will broadly affect 'pretty much all of our departments
within our corporate office,' Cooper said.

'We still have a very sizable complement of people here, and we have some
real strong leaders,' he added. 'And one of the roles that corporate will
continue to fulfill is to provide strategic, thorough leadership in key areas of
the business, like marketing, sales, human resources and so
on.'

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