After a few years of relatively stable operations, the Sprint Corporation announced on Thursday that the telecommunications giant will be laying off 500 employees from its Overland Park, Kansas corporate headquarters. The cuts come as part of a continual push to cut operating costs across all of its locations. Currently, there are over 6,000 people employed at Sprint headquarters. This announcement marks the first time since April 2016 that employees were let go. Sprint management is still in the process of determining what jobs will be eliminated as part of this latest round of layoffs.
Not all of the news is grim. Although there will be a sizable amount of workers affected by this reduction, Sprint maintains that overall job growth across all business sectors will remain strong as the company forges ahead with its expansion plans. The company plans to open more than 600 retail and customer support stores across the country this year. Its pre-paid affiliate Boost Mobile plans to open an additional 850 storefronts in an effort to expand its reach and grow its market share.
Earlier this year, Sprint had been engaged in merger talks with competitor T-Mobile. However, Sprint’s Tokoyo-based parent company SoftBank Group Corp. killed those negotiations, causing Sprint to lose out on substantial operating cost savings. Now that the merger negotiations have been put to rest, Sprint plans to invest capital to improve its wireless network. Company CEO Marcelo Claure expects the network boost to lead to additional employment opportunities.
Although Sprint is still one of the biggest employers in the Kansas City metro area, its overall employment numbers are down substantially since its high of over 22,000 local employees at its peak.