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AT&T; to Link Its Computer Staff With NCR

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<i> From Associated Press</i>

American Telephone & Telegraph Co. on Friday announced its preliminary plan for combining its computer systems employees with those at NCR Corp., the computer maker AT&T; agreed to buy in May.

AT&T; said NCR will interview AT&T; Computer Systems employees for jobs at NCR, which will become a subsidiary of AT&T; but will retain separate management and run the combined computer operation.

The AT&T; computer division will be disbanded once the merger is completed, which is expected this fall, AT&T; said. The division employs about 7,500 people worldwide.

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Of the division’s 3,900 U.S. management employees, the majority are expected to be offered jobs at NCR, AT&T; said.

Of the 3,000 non-management employees, such as assembly plant workers and computer service personnel, NCR will recruit about 600, while AT&T; will retain another 600 to maintain computer equipment for the phone company.

The majority of the 1,800 remaining non-management workers are employed at AT&T; computer plants in Little Rock, Ark., and Memphis, Tenn. “The role of these locations is still under review,” AT&T; said.

The phone company said it will attempt to find jobs in other AT&T; divisions for any workers displaced by the merger. It will provide job counseling, job retraining and allow displaced managers up to eight months to find a new post within the company.

For those employees who cannot find jobs in AT&T;, the company said it would provide up to 32 weeks severance pay for managers and up to 104 weeks pay for other workers.

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