Telekommunikation: Vodafone streicht in Deutschland rund 2300 Stellen

The German telecom company Vodafone is laying off approximately 2,300 employees, marking the most significant workforce reduction in its history. At 10:00 AM, Vodafone's Chief Executive Officer, Marcel de Groot, informed the workforce during an internal meeting that 2,300 positions out of a total of around 12,000 jobs in Germany would be eliminated, according to the Handelsblatt.

This equates to about one in every five jobs (19 percent) in Germany. The layoffs are set to be implemented over the next two fiscal years. The management explained that the cost-cutting measures are necessary to position the company for the future after years of significant customer attrition. Besides reducing personnel, the company also aims to cut expenses related to assets and operational costs, a spokesperson for the firm said.

In a press release, Vodafone cited a "price war in mobile," a shrinking television market, and "competition in fiber optics" as contributing factors. The company stated, "Despite all recent achievements, costs must be optimized to grow sustainably." The company sought "socially acceptable solutions" for the workforce reductions.

Tariff agreements were terminated. Vodafone will unveil figures for the latest quarter on Tuesday. In the previous quarter, Vodafone had to report a drop in customers across all core segments: mobile with a decline of 85,000 customers, broadband with a decline of 98,000 customers, and TV with a decline of 55,000 customers. Revenue grew by 2.2 percent to around three billion euros, partly due to the acquisition of the firm Skaylink.