AT&T; to Cut 24,000 Jobs in Economy Move

American Telephone & Telegraph Co. today announced it is eliminating about 24,000 jobs in its Information Systems group, about 20% of the work force in its computer and business equipment arm.

Robert E. Allen, chairman of Information Systems, based in Morristown, N.J., informed employee groups of the layoffs in a nationwide telephone call. About 30% of the staff reductions involve management jobs.

Allen said the layoffs were being made to reduce costs and improve profit margins.

“Our basic response, in one word, is ‘outrage,’ ” said Francine Zucker, a spokeswoman for the Communications Workers of America, which represents AT&T; employees.

About 7,400 job cutbacks already are under way, involving 4,000 employees in installation, maintenance and other support jobs, 3,000 workers who handle production distribution and 2,000 hourly factory workers.

AT&T; has been trying to find ways to reduce expenses to become competitive with lower-cost rivals in the office telephone equipment area.

Following the staff reductions, Information Systems will have about 93,000 employees nationwide.

Allen said most of the job cutbacks will take place this year and the rest in 1986. He said further reductions could become necessary, depending on market conditions.

He pointed out that the Federal Communications Commission approved a proposal last April that permits the company to manage its operations as a single business and thus operate with fewer employees.

Information Systems, formerly called American Bell, markets and sells computer systems to business customers with 80 or more lines.