British telecom giant Vodafone's new chief executive Margherita Della Valle on Tuesday said it will cut over 11,000 jobs in the next three years to simplify the telecoms group as it forecasts little or no growth in earnings for the new financial year. According to the new CEO Vodafone will be a leaner and simpler organisation to increase the company's commercial agility and also to free up resources.
In a statement Margherita Della Valle said, "Our performance has not been good enough. To consistently deliver, Vodafone must change."
Della Valle further added, "My priorities are customers, simplicity and growth. We will simplify our organisation, cutting out complexity to regain our competitiveness. We will reallocate resources to deliver the quality services our customers expect, and drive further growth from the unique position of Vodafone Business."
The company further said that in order to win the consumers it will have to refocus on the basics and deliver a simple and predictable experience that the customers are expecting.
Vodafone's action plan
The telecom said that its action plan is focused on three priorities that include significant investment reallocation towards customer experience, German turnaround plan with continued pricing action and strategic review in Spain and a total 11,000 role reduction that will take place in the next three years.
Vodafone employs about 1,04,000 people globally and 9,400 people in the UK.
Vodafone announced cost cuts
In November last year, the company said it will cut 1 billion euros ($1.08 billion) of costs by 2026.
During the beginning of this year Vodafone decided to sell its operations in Hungary to the Hungarian government and the local IT firm 4iG for $1.82 billion.
(To receive our E-paper on WhatsApp daily, please click here. To receive it on Telegram, please click here. We permit sharing of the paper's PDF on WhatsApp and other social media platforms.)
