Instead of creating jobs, the T-Mobile/Sprint merger could lead to massive layoffs
There’s been a lot of talk about the potential impact of the long-in-the-works union between T-Mobile and Sprint on wireless industry competition and cell service prices before, during, and after the multi-state lawsuit that nearly killed the mega deal, but one possible consequence of the merger that was far less debated has to do with jobs. Namely, job creation and/or job loss in the wake of the “New T-Mobile” birth.
That already impressive number is (officially) predicted to grow to 11,000 more full-time US employees, and on top of that, the “Un-carrier” turned fierce adversary for the “duopoly” has its sights set on building “more than 600 new retail locations and five new customer experience centers” creating around 12,000 additional jobs, many of which should boost the economy of small towns.
Analysts and unions are worried
The Communications Workers of America labor union fears no less than 24,000 jobs nationwide could be eliminated as a result of “overlapping retail store closures at postpaid and prepaid (Boost and MetroPCS) locations”, with another 4,500 jobs or so expected to be wiped out in the near future due to “duplicative functions at corporate headquarters in Overland Park, Kansas, and Bellevue, Washington.”
Dish remains a huge question mark
The uncertainty might be the biggest problem for some T-Mobile, Sprint, Boost, and Metro employees, but one thing seems pretty much etched in stone, at least according to one analyst – mergers never result in more jobs.