Workforce reduction at Shentel to impact 340 employees in 2021
Approximately 90 percent of the layoffs will involve employees in the Shentel wireless division who are not transferring to T-Mobile as part of the transaction.
The layoffs will follow the closing of the pending sale, which is expected in the early third quarter of 2021.
Shentel will retain approximately 860 employees following the restructuring to support its broadband and tower segments.
“We announced to our employees today the necessary plans to begin to reduce the size of our workforce for the anticipated divestiture of our wireless assets and operations. Although this change was anticipated, its impact will cause disruption and uncertainty for the affected employees and their families,” Shentel President and CEO Christopher E. French said.
The company is coordinating with T-Mobile to assist in transitioning as many of the affected employees as possible to T-Mobile following closing of the transaction, and “proactively providing career transition services to all impacted employees, regardless of whether they are hired by T-Mobile, to help them during this time,” French said.
“Additionally, we will provide severance pay and benefits, inclusive of the new American Rescue Plan Act COBRA subsidy requirements, to all impacted employees who are not hired by T-Mobile,” French said.
Shentel also plans to provide a special one-time 401(k) contribution to all eligible employees, as well as a one-time cash bonus payment to all eligible impacted employees, to assist and support our employees during this transition.