European Communications

Last update03:28:10 PM

Eircom and Swisscom announce job cuts

Both eircom and Swisscom have announced plans to axe jobs, citing the need for greater operational efficiency in challenging markets.

Irish operator eircom intends to cut 2,000 employees from an existing workforce of 5,700.

It revealed the cuts as part of its cost reduction programme, through which eircom aims to modernise its work practices as it makes plans for a country-wide fibre broadband network.

Eircom Group CEO Herb Hribar said: “The challenges facing eircom are significant. They require a fundamental transformation in the way we are organised, the business activities we prioritise and the work practices we have adopted in order to substantially reduce our costs and become more efficient.”

The operator said the programme would “bring eircom in line” with the European average for employees and operational costs when benchmarked on cost against its peers.

The news it the latest development in a turbulent year for the operator after it was placed under bankruptcy protection in May.

Swisscom also announced plans to shed 400 jobs next year, a quarter of which will be managerial positions.

The Swiss operator said that changes in the market required it to replace jobs in declining traditional businesses with jobs in new and innovative areas.

Swisscom noted that its total number of employees continues to grow overall.

It additionally plans to create around 300 jobs in growth areas, also next year.

The announcement follows changes to Swisscom’s operating structure and senior management in September.

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