AT&T Inc., the biggest US phone company, has 350 offices spread across all 50 states, and many employees have worked from home since the pandemic started. So it came as a shock when Chief Executive Officer John Stankey in May mandated that 60,000 managers must report to work in person—but at offices in just nine locations.
Stankey’s demand is a high-stakes game of musical chairs, with team leaders making location assignments to a handful of hubs focused on specific duties. Although the restructuring may yield big savings on real estate and boost collaboration, many employees now facing long commutes or relocations view it as a move to reduce staff. “It’s a layoff wolf in return-to-office sheep’s clothing,” says one AT&T manager who, like others in this story, asked not to be identified for fear of retribution.
Stankey estimated that among the managers affected, about 15%, or 9,000, will face the choice of moving or leaving the company. People inside AT&T say that with the proposed office reductions and task-specific realignments, the estimate is probably closer to 25,000, and most won’t be eligible for relocation money, according to several managers. An AT&T spokesperson says relocation offers will be made by team leaders on a case-by-case basis.
