TalkTalk will cut more than 100 positions in order to save over PS120 million, as part of its “radical” restructuring program.
The UK-based telecoms provider that warned earlier this year of a possible collapse is laying off a large number of employees, mostly at its Salford head office.
TalkTalk is cutting jobs from its Platform X wholesale business in order to reduce its costs. Around 60% of these savings are expected within the next 12 months.
Although the company has not confirmed the exact number, it expects it to be around 130 across many departments and central functions.
A spokesperson for TalkTalk Consumer said: “This first phase is part of a multi-year business transformation to provide differentiated services and products to our customers.
“We are simplifying the business so that we can offer connectivity at a great price to our millions customers in the UK. We have taken the difficult decision, as part of this process, to launch a consultative process about the future of certain roles within TalkTalk’s Consumer Business.”
The company will look to reduce costs by closing offices and cutting back on marketing, travel and catering. The company will also look at the sale of smaller, non-essential businesses.
TalkTalk, with 1,857 employees in mostly administrative roles at the end February, was struggling to pay off debts since the company became private ownership after it was removed from the stock exchange.
The company’s financial statements revealed that the losses for the six-month period ending in August amounted to PS72million.
In the same time period, its number of customers has also shown a steady decrease, dropping from 3.6 millions in February to just 3.4 million.
TalkTalk Group split its central operating business last year into three separate companies: TalkTalk Consumer (consumer), TalkTalk Business Direct (business) and PXC Communication.
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