Telstra To Slash 10,000 Contractor Jobs
Telstra has announced it’s axing 10,000 contractors in the next two years, just days after accelerating its internal redundancy process.
The news comes after Telstra revealed it would earmark 6,000 internal jobs cuts by mid-June – initially planned for first-half 2020.
According to The Australian, Telstra Chief Executive, Andy Penn, asserts technological innovation has forced telcos to reconsider service delivery:
“Over the past year we have reduced our indirect workforce by 5000 and we would anticipate reducing this further by over 25 per cent in the next two years.”
The news seeks to reduce Telstra’s reliance on outsourced service providers and consultants, complementing in-house cuts.
Announced last year, Telstra has set its sights on shelling over 8,000 jobs by 2022 – i.e. a quarter of its workforce – and pursue over a billion in cost savings.
Despite the redundancies, Penn affirms Telstra will remain a notable local employer, with increased demand for tech-centric staff across data analytics, cyber-security and IT engineering.
Shares in Telstra are currently trading up 1.11% to $3.63.