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Telekom cuts 1,200 jobs in reshuffle
Photo: DPA

Telekom cuts 1,200 jobs in reshuffle

Deutsche Telekom will cut 1,200 jobs in Germany by June in what it termed "reorganization" rather than a downscaling operation, the Handelsblatt reported on Thursday.

Published: 17 Jan 2013 10:21 CET

The Bonn-based telecommunications giant is planning to cut jobs in its marketing, management and administration departments wrote the paper, citing unnamed inside sources.

Telekom hopes to cut overhead costs by ten percent and save €100 million a year, in a move the company has described as reorganization rather than downscaling.

It will then focus on extending its broadband operation, employing more experts specialising in mobile internet and switching over Telekom networks to IP technology, wrote the paper.

"Reorganization is always a subject with us," an unnamed Deutsche Telekom spokesman told the paper. "We are always checking the personnel dimensions of individual departments."

Employees affected by the cuts - the details of which will be announced by the end of this June - will transfer to operative departments, or be offered early retirement or severance packages, said the spokesman.

In a parallel "Shape Headquarters" project, the Telekom is planning to cut 1,300 further jobs at its Bonn headquarters by 2015 - 40 percent of the 3,200-strong HQ workforce.

Deutsche Telekom has been shedding employees for years, wrote the paper. In first 9 months of 2012 alone the company cut 5,000 jobs from its worldwide workforce, scaling it down to 236,000 employees.

2,000 of the jobs lost last year were cut in Germany, where a quarter of its employees work.

The Local/jlb

The Local (news@thelocal.de)


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