Telefónica Germany is to cut 1,600 jobs following the acquisition of E-Plus from KPN.
In a statement, Telefónica said the full-time positions would by phased out by 2018, in a move mainly aimed at reducing duplicate functions.
Previously, Telefónica predicted over €5 billion in savings as a result of the deal
The roles will be cut from both the Telefónica Germany, which has approximately 9,100 staff, and E-Plus, which has around 4,500 staff.
Redundancies will be avoided “as much as possible” with affected staff offered severance packages, a Telefónica statement said.
All job cuts are subject to the approval of the Supervisory Board, with negotiations ongoing with relevant works councils.
A statement read: “The new Telefónica Germany relies on consistent simplification and digitization in order to build lean and efficient structures in all areas.”
The Spain-based operator closed its acquisition of E-Plus, for which it paid €5 billion in cash, on 1 October. As part of the deal, KPN retained a 20.5 percent stake in Telefónica Deutschland.
E-Plus Chief Executive Thorsten Dirks is the CEO of the new company, which has 62.1 percent share in the German mobile market.
In July, Deutsche Telekom accused the European Commission of creating a "massive imbalance" in the German market by approving the deal.