T-Mobile removes employer discounts from Simple Choice plans


Tomorrow might be April 1st, but T-Mobile's not joking around with their latest move: they're scrapping employer rate plans discounts. Gone is the supposed complexity that came with wondering what kind of discount you might get with your Simple Choice plan based on where you work, replaced instead with a T-Mobile gift card worth $25 when your purchase a new device… based on where you work. It's simpler than trying to figure out if it's 15% or 5% or 2.8% that you'll get off of your bill.

That said, it could also be a pretty big rate hike for a lot of people. T-Mobile has offered discounts of up to 15% off depending on where you work (including the United States Armed Forces), and the loss of that discount could add up to hundreds of dollars a year. Said T-Mobile CEO John Legere in a blog post announcing the change:

The old programs were designed to help big carriers close big corporate contracts, with employees as bargaining chips. We aren’t playing that game anymore. This change is about simplifying wireless for everyone… including employees of small and large companies alike.

If you upgrade your phone on a frequent basis, this change might work out really well with T-Mobile's Jump upgrade plan. But if you're not, if you're a normal person who keeps their phone for a good long while and doesn't like forking over a few hundred dollars every few months for a new phone, this change might not work out in your favor. T-Mobile customers with corporate discounts: what's your bill going to look like come tomorrow?

Source: T-Mobile

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Derek Kessler

Managing Editor of Mobile Nations, occasional web designer, Army musician, armchair pundit, news addict, all-around nerd, professional ranter, and user of many phones.

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Reader comments

T-Mobile removes employer discounts from Simple Choice plans


Because of the weird company contract T-Mobile signed with my employer, I could never move my bill to the end of the month with all my other monthly payments. it had to be the 7th of every month no matter what. Now that they are getting rid of this whole discount thing, I can move my bill the the 30th with all my others and just pay them in one lump some rather than stretching out paychecks to make sure this and that gets paid for.

I would say its worth giving up some $10-15 a month discount to better manage my funds every month.

Seriously? Give me the $10-15 as a fee and I will make sure your bill is paid.

Seriously though that is a huge fee to pay just to move your payment date.

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If AT&T pulled this, I'd be gone for good. The only thing that keeps me with them at this point is the hefty discount I get from my employer.

This CEO needs to be wise in which "games" he decides to play and not play. Take away the discount and add up the phone cost and I doubt they are much cheaper than other company's. First bad move I've seen from this guy. Now if they dropped their plan prices let's say 5% across the board then I could justify his reason of being fair to everyone. And yes I'm well aware they are a for profit company but I don't understand this move from a public relations standpoint. I still like the direction they are going but this is a head scratcher to me.

I agree. For me, they discount was what was making me look seriously at them. But I decided to wait until the next iPhone to move. Might still be cheaper, but with the $10 hike to unlimited, and the 15% going away, that is $1.50 for each of my daughters lines, $6 for my wife's line and $10.50 more than when I made the decision. $28/month more suddenly. Doesn't sound like much, bit that removes some of the value.

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They upped the data giving users an extra 500mb, I'd rather keep my discount.

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And with that, ATT became only $5 more expensive. $5 more for better coverage sounds like a good deal. Too bad, I just switched to Tmobile. I'll have to pay off the EIP to get my iPhone unlocked before going, though.

First the price hike on the unlimited plan and know they're eliminating the corporate discount. It seem tmobile is nickel and dimming their customers and is losing sight of what got them where they are. I will be bringing my five lines back over to AT&T when T-mobile takes away my corporate discount.

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That's not fair so far we are with AT&T & we got almost 20 & here we get only 15 but if they are going to cut this . That's not good or smart move I have to think for this.

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This is a bad move for tmobile. If this makes my plan much higher I will certainly switch back to att. They just lowered their plan and kept their discount.
I guess tmobile is realizing that they do have to make money somewhere. Making people pay for the phone isn't enough.