MCI to lay off more workers
- 16 January, 2004 22:12
FRAMINGHAM (01/16/2004) - MCI confirmed it will reduce its workforce by 3 percent in 2004. The carrier plans to eliminate 1,700 jobs in an effort to cut costs.
MCI has let more than 22,000 employees go since it filed for Chapter 11 bankruptcy protection in July 2002. Although the company is expecting to emerge from bankruptcy sometime in February, the carrier still has tough days ahead.
The carrier has been facing flat or falling revenue monthly. The lack of growth isn't surprising considering its bankruptcy, accounting scandal, and continued scrutiny from the Justice Department and General Services Administration (GSA).
The GSA did clear MCI to bid on new contracts earlier this month. But MCI will likely not see revenue growth until months after it emerges from bankruptcy.