T-Mobile quietly forcing employees to push new offer to customers

Core Insights - T-Mobile is experiencing increased customer churn, with postpaid phone churn reaching 0.89% in Q3 2025, up 3 basis points from the same quarter in 2024 [1] - The company has raised monthly bills and made significant changes to phone plans, contributing to customer losses [2] - T-Mobile is implementing aggressive sales strategies, including performance metrics tied to new credit card sign-ups for employees [4][6] Customer Churn and Financial Impact - T-Mobile's postpaid phone churn has increased to 0.89% in Q3 2025, indicating a loss of loyal customers [1] - The rise in churn follows the company's decision to increase monthly bills and alter legacy phone plans, which has negatively impacted customer retention [2] Sales Strategies and Employee Pressure - T-Mobile has launched various promotions to attract customers back, including free phone line offers and competitive trade-in deals [3] - The company is pressuring employees to promote a new credit card, making it a performance metric for sales representatives [4][6] - Employees are categorized into three account statuses to facilitate credit card sign-ups, with instructions to push applications even when customers do not request them [7][8][9] Workforce Changes and Layoffs - T-Mobile is conducting layoffs across multiple departments, including account executives and sales managers, as part of a broader workforce reduction strategy [14] - The company has stated that these changes are part of a digital transformation initiative aimed at improving customer experience [18] - Recent leadership changes, including the replacement of the CEO, have prompted a shift in company strategy towards digital solutions [17] Competitive Landscape - T-Mobile faces heightened competition from Verizon and AT&T, which are offering more attractive deals to retain and attract customers [19] - The wireless market is becoming increasingly competitive, with many consumers considering switching to more affordable plans [20] - A significant portion of consumers (approximately 90%) are open to alternatives to traditional phone carriers, with cost being a primary factor in provider selection [22]