Telefonica widens voluntary redundancy

All of the company's most senior cadre will be able to apply. | EFE

ReutersPalma02/12/2021 10:24

Spanish telecoms group Telefonica has extended its voluntary redundancy plan to include eligible staff from all departments rather than excluding some key units as previously announced, majority union UGT said on Wednesday.

The decision to consider voluntary redundancy applications from every department brings the pool of qualified employees up to 4,532 from the 3,261 announced on Tuesday, UGT said in a statement following the latest round of negotiations.

The uptake limit has also been modified to let 66% of eligible staff in units with an abundance of professionals apply and 20% of those in units seeking to hire new recruits. All of the company's most senior cadre will be able to apply.

The programme, open to all those born in 1967 or earlier and with at least 15 years of employment at the company, had initially intended to spare business units dedicated to cybersecurity, marketing and artificial intelligence.

Europe's third-largest telco and a direct employer of 16,000 people in Spain, the operator is the third to seek redundancies in Spain this year after similar moves by Vodafone and Orange in recent months.

Telefonica has been grappling with intense competition in an increasingly low-cost Spanish market as well as pressure from investors.

Consultancy group KPMG helped to formulate the layoff package, UGT union had said.