Telefónica considering further redundancies to cut costs

10 Oct 2003

Spanish telecoms giant Telefónica has revealed it is considering proposals to cut as many 6,300 jobs at its Latin American businesses, equivalent to a third of its workforce in the region, as part of a three-year plan aimed at reducing costs. The telco has already announced the loss of up to 15,000 workers at its Spanish fixed-line division. Telefónica expects the job cuts to help increase its cumulative cash flow between 2003 and 2008 to EUR27 billion, whilst boosting operating margins by 10% to 31%.