AT&t said it is cutting 7,500 jobs at the Indianapolis office it operates in, the company said on Wednesday.
The move will affect about 1,500 employees at the company’s headquarters in the city.
The Indianapolis Star reported that AT&ts chief financial officer and chief operating officer Michael D. Shatz said in a statement that the cuts would be in line with the companys strategy to simplify its operations.
AT&Ts corporate office in Indianapolis.
AT &ts corporate office, where employees work, is seen in Indianapolis, Indiana.
(Photo: Andrew Harnik, AP)”We are investing in our people, our businesses, and our future.
We have a great group of talented people who are passionate about delivering great value for our customers and our shareholders,” Shatz wrote in the statement.
“These cuts will have a significant impact on our operations and the employees we employ.”
The cuts include about 1.2 million jobs in its Indianapolis office, according to the company.
It will close the office in March 2019.
It also said it will be consolidating its workforce to focus on the companywide IT strategy.
Shats statement did not give a timeline for the changes.
The company is one of the fastest growing companies in the country, with more than $18 billion in sales and more than 10,000 employees.
AT’s chief financial executive, Michael D.-Shatz, and Chief Operating Officer, David J. Loeffler, will retire this year.
AT shares have risen since the announcement, rising 3.6% in after-hours trading on Wednesday, the best gain in nearly six months.
AT stock is down about 9% so far this year, according in the S&P 500.
AT reported its third-quarter profit of $6.7 billion, up from $5.4 billion in the same period a year ago.
AT has been trying to streamline its operations and focus on a strategy to sell more broadband service to businesses.
AT said its business has grown by 9% this year compared with the same time last year, and the company plans to add more than 2,000 more employees over the next year.
The deal with its parent company, Time Warner Cable, means that the company will continue to pay Time Warner for carriage of its video services.
AT will pay Time for the rights to carry HBO and Showtime, as well as for HBO Now, the streaming video service.