Centurylink Inc (NYSE:CTL) Cutting Hundreds Of Jobs

CenturyLink Inc

Centurylink Inc (NYSE:CTL) has launched a plan to lay off hundreds of workers and the plan is expected to go on for several coming weeks. The plan is part of the company’s reorganization program to adapt to new technology following its merger with Level 3 Communications last year.

The company, which is based in Monroe, Louisiana, is reducing its workforce by 2% in a move aimed at scrapping jobs in several divisions. CenturyLink did not however disclose the exact number of workers to be laid off. However, according to employment figures that the company announced earlier this year, 2% would translate to around 1,050 workers.

CenturyLink has around 7,800 workers in Colorado. It is not clear of the number of workers that will be laid off at the company’s major offices in Broomfield, downtown Denver and the southern metro-area suburbs.

In a statement, the company’s spokesman Mark Molzen said the merger of two big companies create duplication of position, which the company must address if it is to remain competitive. He added that the program, together with increased automation, is geared at increasing the level of customer service. The company did not reveal the details of the positions that will be scrapped or the geographical distribution of the workers to be laid off.

This is the largest round of job cuts for the company since taking over Level 3 Communications, which is based in Broomfield. This was a $24 billion cash and stock deal and was closed on November 1, 2017.

The US communications Workers’ union, under which thousands of CenturyLink workers fall, has already blasted the company terming the move disgraceful. The union has indicated that the company got $1.1 billion in benefits because of the federal laws passed last year.

Brenda Roberts, the Vice President of Communications Workers of America District 7 accused the company of pursuing short-term gains by cutting off its workers. He said that the company is seeking to boost the price of its stock and earn more money for the executive and shareholders. A total of 11,000 workers at CenturyLink are members of the Communications Workers of America District 7.

This report is for information purposes only, and is neither a solicitation or recommendation to buy nor an offer to sell securities. Financials Trend is not-a-registered-investment-advisor. Financials Trend is not a broker-dealer. Information, opinions and analysis contained herein are based on sources believed to be reliable, but no representation, expressed or implied, is made as to its accuracy, completeness or correctness. The opinions contained herein reflect our current judgment and are subject to change without notice. Financials Trend accepts no liability for any losses arising from an investor's reliance on the use of this material. Financials Trend sometimes gets compensated up to one hundred and fifty thousand dollars per month for featuring particular stocks. See site disclaimer for complete compensation. Financials Trend and its affiliates or officers currently hold no shares of these stocks. Financials Trend and its affiliates or officers will purchase and sell shares of common stock of these stocks, in the open market at any time without notice. Financials Trend will not update its purchases and sales of these stocks in any future postings on Financials Trend's websites. Certain information included herein is forward-looking within the context of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements concerning manufacturing, marketing, growth, and expansion. The words "may", "would," "will," "expect," "estimate," "anticipate," "believe," "intend," " project," and similar expressions and variations thereof are intended to identify for ward-looking statements. Such forward- looking information involves important risks and uncertainties that could affect actual results and cause them to differ materially from expectations expressed herein. *Financials Trend does not set price targets on securities. Never invest into a stock discussed on this web site or in this email alert unless you can afford to lose your entire investment.