AT&T's Chief HR Officer Angela Santone Departs Amidst $8B Cost-Reduction Program and Job Cuts

AT&T Inc's T Chief Human Resources Officer, Angela Santone, one of three female top executives of the company, will depart in September amid an $8 billion cost-reduction program that involves job cuts.

Last week, AT&T shared plans to increase its $6 billion cost-cutting effort by an additional $2 billion-plus over the next three years. AT&T reported second-quarter FY23 operating revenues of $29.9 billion, up 0.9% year-over-year, marginally beating the consensus of $29.9 billion. Adjusted EPS of $0.63 beat the consensus of $0.60.

CEO John Stankey informed employees of Santone's departure last week, Bloomberg reports.

Santone joined AT&T in 2019 from Turner, a division of Time Warner, to manage human resources during the pandemic as the workforce transitioned to remote locations.

The telecom company struggled with slowing wireless subscriber growth, increased debt, and potential costs from lead cable cleanup.

As part of the cost-reduction program, AT&T is restructuring its operations, reducing 350 offices to nine core locations, and requiring 60,000 managers to work in person at these hubs.

AT&T has been conducting rounds of layoffs through "surplussings," resulting in significant job cuts since the beginning of 2021.

Santone's tenure included the development of an internal "culture of connection" program, encouraging employee engagement and making them brand ambassadors.

Despite her efforts, AT&T's cost-cutting measures have significantly reduced its total staff since the beginning of the year.

Also, since 2021, AT&T has cut 74,130 employees, or 32% of its total staff, through June 30. It includes employees acquired through divestitures.

Price Action: T shares closed higher by 0.48% at $14.52 on Monday.

Photo via Wikimedia Commons

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