Schwab Closes Call Center, Cuts 375

Share this article:
Stockbroker Charles Schwab Corp. plans to close its inbound customer service center in Austin, TX, eliminating 300 positions there and shaving 75 more employees at other company customer service centers.


Schwab said it began notifying employees of the impending job cuts yesterday. The company said it expected the downsizing to cost $36 million in third-quarter 2002 and would save Schwab $26 million per year in operating expenses starting in 2003.


The four other customer service centers affected by the cuts are in Denver, Indianapolis, Phoenix and Orlando, FL.


According to Schwab, the stockbroker will consider further cost-cutting measures, including more staff cuts, over the next 30 to 60 days in an effort to reduce its annual expenses by $200 million. The number of jobs that will be eliminated has not yet been determined, Schwab said.


Schwab has eliminated 7,200 jobs since the end of 2000. As of June 30, it employed 19,100 workers.


Share this article:

Sign up to our newsletters

Follow us on Twitter @dmnews

Latest Jobs:

More in News

News Byte: Comcast Expanding Global Ad Delivery Through Partnership

News Byte: Comcast Expanding Global Ad Delivery Through ...

Through a partnership with Adstream , Comcast's AdDelivery Service expands its footprint across the globe.

40 Under 40 2014: Nominations Are Now Open!

40 Under 40 2014: Nominations Are Now Open!

It's time to nominate the 2014 crop of young marketing luminaries for Direct Marketing News's 40 Under 40 Awards. The deadline is Friday, June 6, 2014.

News Byte: MediaCrossing Partners with ASL Marketing on Youth Marketing Tool

News Byte: MediaCrossing Partners with ASL Marketing on ...

The digital media trading firm and marketing database company aim to help marketers target 13 to 34 year olds.