Telstra has announced plans to cut up to 650 jobs, with outsourcing to India and a joint venture with Accenture playing significant roles in the layoffs.
Telstra Corporation Limited is poised to implement significant job cuts within its Telstra Enterprise and Customer divisions, potentially affecting up to 650 employees. The announcement comes from internal communications that were shared exclusively with ABC News, outlining the company's decision to outsource a portion of its workforce to Infosys, a technology firm based in India. CEO Vicki Brady revealed that around 440 of these roles could be lost if the outsourcing plan proceeds.
In addition to the outsourcing cuts, the company has confirmed that 209 positions are expected to be eliminated due to a collaborative initiative with Accenture, which will also involve integrating AI-driven processes into operations. This means that some tasks previously managed by humans will be transitioned to artificial intelligence, further reducing the number of employees required for these roles. The move follows a broader trend in the telecommunications and technology sectors, where companies are increasingly looking to cut costs and streamline operations.
The implications of these layoffs are substantial not just for the affected employees but also for the company’s future operational capacity. As Telstra looks to modernize its operations through technology, there is growing concern over the balance between cost-cutting measures and maintaining a skilled workforce that can adapt to new technologies. Workers and labor advocates are likely to respond strongly to these reductions, emphasizing the need for safeguards as traditional jobs are increasingly replaced by automation and offshoring.
