T-Mobile Announced To Its Employees That It Is Planning To Reduce Size Of Its Workforce By Just Under 7%; Estimates That It Will Incur A Pre-Tax Charge Of ~$450M In Q3 Of 2023 Related To Workforce Reduction; Reiterates FY23 Guidance It Previously Issued
Portfolio Pulse from Happy Mohamed
T-Mobile has announced plans to reduce its workforce by nearly 7%, which will result in a pre-tax charge of approximately $450M in Q3 of 2023. The company has reiterated its FY23 guidance as previously issued.
August 24, 2023 | 2:02 pm
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T-Mobile's workforce reduction could lead to short-term cost savings but may impact long-term productivity. The $450M pre-tax charge in Q3 2023 could affect earnings.
The workforce reduction could lead to short-term cost savings for T-Mobile, which may be positive for the stock. However, the $450M pre-tax charge in Q3 2023 could negatively impact earnings, potentially leading to a decrease in the stock price. Additionally, the reduction in workforce could impact the company's long-term productivity and growth, which could also negatively affect the stock price.
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