French operator Bouygues Telecom has presented a transformation plan to its works council that would see the operator reduce its workforce by 1,516 employees, or 17 percent, from 2015 as it strives to secure an independent future. The company has experienced difficulties in a telecom market in upheaval since 2012, and reported a EUR 19 million operating loss in the first quarter of this year.
Bouygues will reposition its business around three priorities: developing new usages and mobile internet by continuing to invest in its 4G mobile network, launching “very aggressively-priced” internet and fixed telephony offers all year round, and strengthening its service commitment, offering customers the best of digital services and support.
The transformation plan will see Bouygues enhance and modernise its store network, although in-store employees and customer advisers in direct contact with customers will not be affected by the redundancy plan. The company will simplify its organisation, processes, products and services to restore more clarity and agility in a changing market. A support plan encouraging voluntary redundancies and transfers within Bouygues group will be presented to the works council will be negotiated in the coming weeks.
Separately, Les Echos writes that Bouygues plans to reduce the size of its IT department from 750 to 500 workers and to eliminate 65% of its 250 marketing jobs. A large number of senior and middle management jobs will go. The operator will maintain a EUR 500 million a year investment in its network and it will double investment in retail operations.
