Windstream trims 164 jobs, 25 in Little Rock

Windstream Holdings eliminated the jobs of 164 employees Monday, including 25 in Little Rock, the firm's spokesman said.

The jobs cuts came from various work groups, including engineering, finance and information technology, said spokesman David Avery.

Windstream has about 12,000 employees with about 1,450 of them in Little Rock, Avery said.

"The actions are part of our ongoing efforts to efficiently manage the business and to align resources to current work demands and opportunities," Avery said.

Windstream will provide severance and other benefits to those affected, Avery said.

"Decisions that affect our employees are difficult, but necessary to manage our costs and position the company for success," Avery said.

The job cuts are unrelated to Windstream's announced $1.1 billion takeover of EarthLink, announced in November, Avery said.

"Our integration teams are still working through the staffing plans for the combined company," Avery said.

Windstream and EarthLink were granted approval for the merger on Friday by the Federal Communications Commission. The two still need approval from state regulators and the companies' shareholders.

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After the deal closes, Windstream will own 51 percent of the combined company and EarthLink will own 49 percent.

"We have made great strides repositioning Windstream to better serve our customers," Avery said.

Windstream expects to make significant progress this year in all of its business units, particularly with the addition of EarthLink this spring, Avery said.

Windstream lost $66.2 million in the third quarter of 2016 compared with a loss of $7.2 million in the third quarter of 2015.

There has been speculation that Windstream was considering moving its headquarters out of Arkansas.

"When we announced the EarthLink transaction, we said that the corporate headquarters would remain in Little Rock," Avery said. "That is unchanged."

At the time of the EarthLink announcement in November, Jay Chesshir, chief executive officer of the Little Rock Regional Chamber of Commerce, said Windstream's merger with EarthLink was "promising."

"It's extremely promising that with this latest acquisition [Windstream has] determined to maintain and grow their headquarters here in Little Rock," Chesshir said.

Business on 01/24/2017

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