Deutsche Telekom to cut 10,000 jobs at loss-making IT services subsidiary
Berlin — Deutsche Telekom said on Thursday it would slash 10,000 jobs worldwide at its loss-making IT services subsidiary in the next three years as it looks for €600m in savings. Six thousand of the axed posts at the subsidiary T-Systems will be in Germany, a spokesman told AFP, adding that the restructuring plan had been announced to employees on Thursday. The struggling subsidiary now employs 37,000 people, including 18,000 in Germany. T-Systems also plan to shutter 90% of its 230 branches, leaving just 20 open, said business daily Handelsblatt, which first reported the restructuring plan. Service sector union Verdi vowed to fight the "irresponsible job cuts", which it said were announced after fruitless talks with management had broken down last week. It charged that "instead of tackling and future proofing" the business, Telekom had opted for "an unimaginative austerity programme and ... massive job destruction". The union’s IT sector official Michael Jäkel said the telecoms be...
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