Vodafone will cut 11,000 jobs to regain competitiveness
Vodafone is cutting 11,000 jobs over three years to help cut costs and improve its financial performance, the former head of the telecoms group, Margherita Della Valle, said on Tuesday.
“The circumstances of our industry and Vodafone’s position within it require that we change,” said Della Valle.
“We need to eliminate complexity and simplify the way we operate,” he added.
Vodafone also reported that the group’s revenue stood at €45.7 billion ($50 billion) in its financial year to the end of March, almost flat compared to 2021/22.
“Our performance was not good enough,” said Della Valle.
Vodafone’s poor performance in Germany
She was tasked with transforming Vodafone when she took the top job permanently in January, with the aim of cutting costs by €1 billion ($1.1 billion) by 2026.
“My priorities are customers, simplicity and growth,” she said.
Vodafone has already started cutting jobs in major markets, cutting 1,000 in Italy this year, while a media report said it intended to cut around 1,300 in Germany.
Germany, Vodafone’s biggest market, was underperforming, said Della Vall.
She said the group’s Spanish businesses were under strategic review and a “structural change”, meaning a full or partial sale, was being considered.
The job cuts announced on Tuesday are the biggest in the history of Vodafone, which employed more than 100,000 people across Europe and Africa at the end of last year.
lo/jcg (AP, AFP, Reuters)
Source: DW
Lori Barajas is an accomplished journalist, known for her insightful and thought-provoking writing on economy. She currently works as a writer at 247 news reel. With a passion for understanding the economy, Lori’s writing delves deep into the financial issues that matter most, providing readers with a unique perspective on current events.