Corporate networking inc to cut 6,000 jobs in 2016

Corporate networking companies are being warned they will lose up to 6,500 jobs as part of a plan to reduce costs and cut costs of services in an effort to boost profit margins.

Chief executive Stephen Byrne announced the move at a meeting with corporate leaders in Cork last night.

The group of companies, which includes BT, O2, Virgin Media, TPG and Telefonica, said it had made an “unprecedented” reduction in the number of people it employs and the costs of its business and services.

It said it would make savings by moving to a more cost-efficient and more efficient organisation.

Mr Byrne said the company had “a clear vision for what the future of the organisation should look like” and would be able to continue to deliver on its ambitious targets.

The changes to its workforce are due to be announced in the coming months.

Mr Gilmore said the reductions were expected to save the company £6m per year.

The company said it was working with other firms to identify and retain “innovative talent” for future initiatives, while increasing its workforce.

Mr Gilmartin said the new company would “build on the strengths” of its existing companies and would “ensure the continued strength of our network” and its “continued excellence in delivering high-quality, award-winning services”.

The company has been criticised for having a culture of “bullying” and “trolling” in recent years.

Mr Gilliam said he was proud of the company’s “commitment to social responsibility” and said the decision would also benefit the company.

The reduction in jobs is expected to take effect in the first quarter of next year, as part a review of its financial structure.

A statement from the company said the review would “rebalance” the company to deliver “more value for money and greater value for shareholders”.

“The reduction of the number and the size of the workforce will have no impact on the company as we will continue to invest in the company and our business as we have for the last decade,” it said.

The announcement follows the resignation of former chief executive Gary Walsh who was criticised for not being able to manage the company properly.


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