RSSAOL Lays Off 1,400 Customer Service Reps
By Ed Oswald | Published October 19, 2006, 10:23 AM
As part of its cost-cutting measures, AOL gave pink slips to 1,400 call center workers in Albuquerque, N.M. and Tucson, Ariz., notifying them that the ISP plans to close those facilities down. Additionally, 400 people in an Ogden, Utah call center were notified that AOL would sell that location.
The closures are scheduled to occur in mid-December, while the Utah facility would be sold "in the coming months," the company said. It is not clear how many would retain their positions in a new company, as AOL did not give specifics on the sale.
The nation's largest ISP announced in August that it was transitioning to a free service, which it hoped be kept afloat by an increase in Web advertising. The move was a gamble, however, as it stood to lose nearly $2 billion in subscriber revenue alone.
As a result, AOL has made cuts in its spending, reducing customer service and marketing positions, and selling its Internet access divisions in the UK, France, and Germany.
So far, about 4,000 have lost their jobs as a result of the changes, with about 5,000 total expected to be laid off by the end of the transition. An AOL spokesperson said the sales of its international units resulted in few layoffs, as the acquiring companies retained nearly all employees.
"I hope they go out of business."
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Don't count on it. If anything they will come back stronger than ever.
Also, most of those laid off individuals have been assured of jobs elsewhere.
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After losing 2 billion in revenue a year after going to freeware, how will they pay these relocated employees? You are wrong sir. Those people no long work for AOL. Which is also why they sold all of their overseas companies as well.
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"Those people no long work for AOL."
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No, you are misinformed, sir. They still work for AOL even though they've received lay off notices and as I said, most of them (US employees) have been assured of employment elsewhere.
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sux to be working for them. for all my anti aolism, i do tip my hat to them since they did help make the net more attainable to the masses. they were a stepping stone and their time came and went.
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I hope they go out of business.
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Thank GOD! Remember people:
If you are on AOL..you are SOL.
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Thank GOD! Remember people:
If you are on AOL..you are SOL.
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You wish.
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