HawTel lays off 50 in cost-control effort
Hawaiian Telcom announced yesterday it is laying off more than 50 managers, the latest in a string of cuts intended to help the company control costs.
Most of the new layoffs were effective immediately, the telephone and Internet service company said, but some affected employees will stay until the end of the month.
The move is part of a cost-cutting program begun last fall, and applies to nonunion management positions across the company.
Yesterday's layoffs amount to 3 percent of the 1,632 employees reported in the Honolulu-based company's November third-quarter filing. Spokeswoman Ann Nishida declined to release the expected cost savings.
Hawaiian Telcom lost $29.5 million in the third quarter, versus $43.9 million a year earlier. Results continued to be affected by efforts to clean up system problems that have plagued the company since last year, and above-normal levels of billing credits and adjustments.
In November the company announced that three executive positions were being eliminated or consolidated, and it offered early retirement incentive packages to 55 workers earlier this month. Today is the last day those packages will be offered.
The company made a similar offer to 95 employees in January 2007. Out of those, 60 accepted.