BT Cuts 7,700 Jobs and Acquires TalkTalk for £400 Million
BT reduced its workforce by 7,731 employees and acquired TalkTalk's consumer and wholesale arms to drive cost savings and boost pre-tax profits.
The telecommunications company BT reduced its workforce by 7,731 employees since the end of March, bringing its UK-focused headcount to 90,000. These cuts, concentrated largely in the Openreach division as fibre network construction slows, are part of a restructuring program aimed at slashing billions in costs by 2030. The measures contributed to a 12% year-on-year increase in pre-tax profits, which reached £1.1 billion for the six months ending September 30.
As part of its expansion and consolidation, BT acquired the consumer and wholesale arms of TalkTalk for £400 million. The deal secures service for 2.5 million households and protects 900 jobs in Salford. The acquisition is currently under regulatory review by the Competition and Markets Authority following a Public Interest Intervention Notice issued by Culture Secretary Lisa Nandy.
BT is also progressing a joint venture with Verizon to spin out its international business. This move has led the company to adjust its annual cost-savings target to approximately £3.5 billion. Chief Executive Allison Kirkby stated that the company's UK-centric strategy is delivering results as it continues to simplify and modernise operations.
