(Reuters) – Australian telecoms Telstra (OTC:) said on Tuesday it would cut up to 2,800 jobs from its workforce by the end of this year as part of proposed measures to simplify operations and improve productivity.
Telstra said consultations for 377 of these roles will begin immediately, primarily in areas supporting products and services that will be delivered across its enterprise business.
The company expects one-off restructuring costs to be between A$200 million and A$250 million in financial years 2024 and 2025.
Telstra reiterated its 2024 profit forecast and said it expects underlying earnings before interest, taxes, depreciation and amortization in 2025 to be between A$8.4 billion and A$8.7 billion.
Telstra first announced a review of its products and services across its enterprise business in February.
The company said Tuesday it has identified a number of actions to be reviewed, including optimizing its product portfolio and reducing the number of network applications and services products in the market by nearly two-thirds.
Telstra said it would also change some of its internal operations, moving the global business services function to other parts of the business.
($1 = 1.4997 Australian dollars)