Vodafone announces plan to slash 11,000 positions
After assigning a new CEO, Vodafone decided to cut 11,000 jobs in three years to stabilize the finance in today's economic difficulties. The decision was revealed in Vodafone's latest financial reports.
Margherita Della Valle recently joined Vodafone as the company's new CEO and started the job by streamlining internal finance issues. Vodafone will slash 11,000 jobs in the next three years. Della Valle wants to simplify the company, and the job cuts are a part of the plan. The new CEO also thinks that the company's performance hasn't been good enough.
“Our performance has not been good enough. To consistently deliver, Vodafone must change. My priorities are customers, simplicity, and growth. We will simplify our organization, cutting out complexity to regain our competitiveness," she said. “My priorities are customers, simplicity, and growth. We will simplify our organization, cutting out complexity to regain our competitiveness. We will reallocate resources to deliver the quality service our customers expect,” Della Valle added.
The layoffs will affect roughly 10% of Vodafone's total staff, with losses expected in other countries, including Germany and Italy, in addition to the UK. This will be the largest layoff in the telecom company's history. It is also one of the biggest layoffs recently, alongside Meta, Amazon, and Disney.
Delle Valle to resurrect Vodafone
The changes will free up an additional €100 million for marketing to resurrect the Vodafone brand, as well as €150 million to improve the customer experience. Della Valle stated that the job losses would not raise the €1 billion aim outlined in November. She thinks Vodafone has been too "incremental" in the last few years.
Vodafone, which has over 18 million UK mobile users and more than 1 million internet customers, is nearing completion of a merger with Three to form the UK's largest mobile operator.
Della Valle said she wants the deal to be done to decrease the number of major UK mobile providers from four to three. Vodafone's first attempt was blocked by regulators because of competition problems.
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