Voda UK Buying 3UK, Cutting Costs/Jobs?
Rumors are swirling that Vodafone UK could be on a mission to acquire 3UK, a move that while I’m sure has many people excited, could come with its fair share of negative implications. Ahead of the purchase, other rumors are suggesting Vodafone is on the brink of axing 500 employees in a cost-cutting mission. They’re simultaneously looking to add 170 “customer facing roles” but that is still a net loss of 330 employees.
That may not sound like a huge amount, but composing 3.6% of Vodafone’s UK employment, those 330 people shouldn’t be overlooked. The executive team would probably consider this “trimming the fat” but my concern is what happens when/if Vodafone buys 3? Three are usually redundant roles and overlapping positions, with more jobs inevitably being lost.
The Vodafone and 3UK deal is being suggested as a competitive measure since T-Mobile UK’s planned merger with Orange UK was given the green light by regulators. Will the consolidation continue?
[Via NetImperative]