Search

Thousands of jobs to go at BT

PUBLISHED: 16:01 04 December 2001 | UPDATED: 10:58 03 March 2010

TELECOMS group BT is cutting staff numbers in its retail division by 13,000 in an effort to cut costs by £850 million, it said today.

The threat of jobs losses in Suffolk can not be ruled out as the company has yet to announce where the positions will be axed.

TELECOMS group BT is cutting staff numbers in its retail division by 13,000 in an effort to cut costs by £850 million, it said today.

The threat of jobs losses in Suffolk can not be ruled out as the company has yet to announce where the positions will be axed.

The cuts correspond to an average reduction of around 19 per cent of staff numbers in the retail division over three years, spokesman Paul Dorrell said today.

He added: "It is part of an ongoing reduction across BT.

"We are not talking about compulsory redundancies.

"This announcement is an update on a management target which started back in March 2000, and will last until 2003. There are no targets to say that Ipswich will be any more involved than anywhere else. There are no local plans yet."

Yesterday in The Evening Star BT said there was no truth to any rumours that senior staff had or were going to be taking a pay cut or that the company was considering moving out of Adastral Park in Martlesham for smaller premises.

Today's shake-up came as BT said it aimed to push growth in its retail division - which provides phone and internet services for business and residential customers - over the next four years by driving forward hi-tech internet and mobile services.

The group said the drive would "more than offset' the expected erosion in revenues from the division's core voice products, such as its fixed line phone business.

It is setting itself a target of 3pc compound yearly growth for the next four years in its retail division - compared with a previous forecast of flat revenue.

Pierre Danon, BT Retail chief executive, said: "It really is a case of think you know BT, think again.

"We are building on the solid foundations established over the past year, and the past five months in particular. With innovative and aggressive defence of our core business and a whole raft of exciting new initiatives, we will not only halt declining revenue, but increase it by 3pc (compound annual growth).

"At the same time, we will keep up the momentum to become the industry's customer satisfaction champion and drive down costs.'

He added: "I feel our transformation can be illustrated best by the analogy of BT changing from a ponderous Sumo wrestler into a lean and agile Samurai swordsman. By making this change, BT will finally break its losing streak.'


If you value what this story gives you, please consider supporting the Ipswich Star. Click the link in the orange box above for details.

Become a supporter

This newspaper has been a central part of community life for many years. Our industry faces testing times, which is why we're asking for your support. Every contribution will help us continue to produce local journalism that makes a measurable difference to our community.

Latest from the Ipswich Star