Vodafone's Planned Restructuring In German Unit To Hit About 2,000 Jobs

(RTTNews) - British telecom major Vodafone Group Plc (VOD.L, VOD) announced Tuesday that its German unit is planning a restructuring program that will result in a financial impact of around 400 million euros over the next two years. The company said around 2,000 jobs in Vodafone Germany will be affected as it plans to reduce personnel costs through savings.

Vodafone said it wants to make itself even simpler, faster, leaner through the transformation program by reducing material, operating and personnel costs.

Costs will be reduced primarily by dismantling complex structures and modernizing network elements and IT systems. Further, the company is increasing investments in strong networks, simple products, improved customer accessibility, advertising and the growth areas of IoT and cloud.

The company said manual tasks will be carried out through increased automation in the future.

"As in the past, Vodafone wants to proceed in a socially responsible manner when it comes to personnel changes. Growth areas such as the cloud and IoT business as well as customer-related positions, especially in the corporate customer sector, are to be strengthened with experts," the firm said.