MCI to axe 4,000 US jobs

Fingers crossed for UK

By Tim Richardson • Get more from this author

Posted in Business, 29th March 2004 13:10 GMT

Tune into our application security webcast, click here

MCI, the company formerly known as Worldcom, is to axe 4,000 jobs in the US.

WorldCom/MCI is to shut call centres in Denver Colorado; Phoenix, Arizona; and Niles, Ohio, the telecoms companay said in a statement.

It also plans to cut jobs at MCI/WorldCom centres in Alpharetta, Georgia; Colorado Springs, Colorado and Springfield, Missouri.

The company said it was taking the action "in order to improve our overall cost structure".

The job cuts - affecting around 7 per cent of the company's workforce - are expected to kick-in during May and June, according to reports.

So, is MCI-WorldCom gonna cut jobs in the UK as well? A spokeswoman for the company couldn't rule it out.

In a statement the company said: "As we continue to restructure our operations to better position the company going forward, including improved integration and automating certain functions, we expect to continue to add and reduce workforce positions as needed.

"As part of the MCI's policy, it will first disclose information on any possible impact in local countries to affected employees and their representative groups following all local requirements and obligations."

This month MCI announced a whopping $74.4bn restatement of income following the financial scandal that rocked the corporate world. Back in 2000/01, while WorldCom was reporting that it was making a profit, the company was actually making a loss.

The company is expected to emerge from Chapter 11 bankruptcy protection in the next month or so. ®