UScellular to lay off 4,100 employees in June

Company says โ€˜majorityโ€™ of affected employees will be offered new positions with T-Mobile

Wireless phone provider UScellular plans to lay off an estimated 4,100 workers nationwide as part of its acquisition by T-Mobile, including workers at several company-owned stores in Iowa.

In a March 26 letter to James Clopton, program manager with the U.S. Department of Employment Services, UScellular employee relations director Izik Youker wrote that โ€œemployment separationsโ€ with remote employees, as well as employees at corporate-owned US Cellular stores, โ€œare planned to commence on June 2, 2025 or within 14 days thereafter.โ€

However, Mr. Youker said in the letter that โ€œa majorityโ€ of affected UScellular employees will be offered employment with T-Mobile โ€œat a salary or wage rate and with benefits that, when taken as a whole, are no less favorable to these employeesโ€™ current salary or wage rate and benefits.โ€

The UScellular lay off will impact workers at corporate-owned stores in Cedar Rapids, Coralville and Iowa City, as well as a call center in southwest Cedar Rapids.

In May 2024, T-Mobile agreed to acquire UScellularโ€™s wireless operations and select spectrum assets in a deal valued at an estimated $4.4 billion. The deal is expected to close in mid-2025.

Based in Chicago, UScellular is the fourth-largest full-service wireless carrier in the United States.