Australian operator Telstra has confirmed it will cut 1,400 jobs in Australia as part of a cost reduction initiative. The decision will affect jobs across several business units and states, ABC reports, citing Telstra CEO Andy Penn. "Today, we announced a series of structural reorganisations which are very much about aligning the business to reduce complexity [and] create a leaner business," Penn said. The job cuts are due to "the increased competitive dynamics of the market and the acceleration of the rollout of the NBN (National Broadband Network)", Penn added.
According to Shane Murphy, the Communications Union's divisional president and NSW secretary, "there had been no indication or any signs given to the union or workforce", up until a text message received by staff on 14 June. They were asked to join a teleconference and advised 1,400 of their jobs would no longer apply in the next six months, Murphy said.
Murphy also said the job cuts will affect many areas, including maintenance, construction, technician, and call centre jobs. The job cuts are expected to start in early July.
The union and Telstra met on 15 June to discuss the matter. The union said it does not plan a workers’ strike or industrial action as Telstra currently has an enterprise bargaining agreement in force.
