Government hopes to limit job losses

18 Jul 2012

Reuters reports that the French government is set to impose measures that would prevent operators from using job cuts as a way to cope with the price war underway in the country’s mobile market following the arrival of low-cost player Free Mobile. ‘We do not accept that jobs become the adjustment variable, especially in the telecoms sector, which is regulated and inherently insulated from international competition,’ said France’s junior minister for the digital economy, Fleur Pellerin, during a question-and-answer session before the National Assembly. In the wake of Free Mobile’s entry to the French wireless market, both SFR and Bouygues have unveiled plans designed to cut costs. France Telecom says that currently it is not planning any staff cuts.

France, Bouygues Telecom, Free Mobile (Iliad), SFR