New York (NY) - Time Warner's Internet service provider unit is slimming down ever more, announcing today it will reduce its workforce by 20%.

The job cut represents 2,000 employees who will be shown the door and kicked out of AOL, as the company continues to curb as many costs as possible.  Just last fall, 5,000 positions were also cut.

The flailing Internet company has been in steep decline as broadband penetration sweeps across the country.  It is transitioning itself to being an online advertising company, shortening the amount of manpower needed to control the operations.

"This realignment will allow us to increase investment in high-growth areas of the company — as an example, we added hundreds of people this year through acquisitions — while scaling back in areas with less growth potential or those that aren't core to our business," said AOL CEO Randy Falco in a statement to employees.

Last year the company heavily reduced its employee numbers in customer service and marketing departments.  These cuts represent jobs from nearly every aspect of the company, reports the Associated Press.

The majority of terminated workers in the US, about 1300, will end their employment with AOL tomorrow.  The rest of the job cuts, based in overseas offices, will be official by the end of the year.  Severance packages will contain at minimum four months' pay.

Good bye

Oct 15, 2007 13:05     

You've got fired :) hehe
Rob report abuse vote down vote up Votes: +0

ha, who didnt see this coming

Oct 15, 2007 13:18     

High premiums for dial up? Hard to understand customer services out from the country. Lousy antivirus blocker. They raped all of wallets at some point in our early internet lifes. They had their fun, time to just dissappear.
VILLAIN_xx report abuse vote down vote up Votes: +0

Surprised....

Oct 15, 2007 14:23     

I'm surprised and impressed that they made it this long. Dial up seemed dead ten years ago, but they continued to serve the poor and under educated and made a good profit off them. Could also explain why we have such terrible broadband choices in the US.
GZ report abuse vote down vote up Votes: +0

Well when your company sucks

Oct 15, 2007 14:34     

What do you expect? AOL has a horrible track record and is just bleeding customers.
David report abuse vote down vote up Votes: +0

See ya later

Oct 15, 2007 15:05     

I remember when AOL charged by the hour. They were among the most expensive ISPs. Earthlink is another valueless company. Won't be misssed when they go. And they will go. It's just a matter of when. Netzero is next. I get a kick out of the Netzero ad. CEO Goldston acts like he still uses Dialup. The name says it all. NetZero is actually short for the "Net value of the company"
J. Doe report abuse vote down vote up Votes: +0

Well...

Oct 16, 2007 00:28     

They sent a crap load of jobs to India, where are they cutting from? I helped a cheap relative set it up. I talked to atleast 5 indian guys all with the name of john smith. If you ask a question not on their script you somehow was disaonnected on, put on hold or transferred. LOL on a positive note I saw one cost saving they went from hourly to unlimited. Unlike microsoft who send more jobs to India but the cost of the OS keep soaring to new hieghts. It's a damn shame...

Enlighten report abuse vote down vote up Votes: +0