Lucent early retirement reels them in

About 8500 Lucent employees accepted an early retirement plan offered by the company last month.

The plan, offered to 10,000 employees, was aimed at reducing the company’s headcount to cut expenses as the struggling equipment vendor attempts a turnaround. In a move that increases pension benefits to eligible employees, the company offered to add five years to both the age and years the number of years with the company to employees who accepted the proposal.

According to a Lucent spokesman the company is pleased with the 85% acceptance rate. The company’s headcount, however, is still higher than its target goal, and more layoffs are likely to be announced by the end of this current quarter, the spokesman said.

Also as part of the company’s turnaround efforts, Lucent has reorganized itself into two main operating units, down from five

Wireless, optical data networking, software and switching have now been condensed into mobility solutions, which sell third generation wireless network equipment, and integrated network solutions, which handles the company’s wireline business.

“We’re organized around the way our customers are buying from us: around wireline and wireless services. More and more your seeing service providers organize that way,” said the spokesman.