Vodafone Hutchison Australia will cut a significant number of jobs across the country, as the organisation looks to recover from massive losses due to network issues that stem back to 2010.
It is expected that 10 percent of the company's workforce, of approximately 5,000, will be made redundant as part of the measure. CEO Bill Morrow today announced that the cuts would be made to ensure that Vodafone remained an "agile, optimised organisation."
"Vodafone will be a leaner, more effective business that is completely focused on what our customers want now and for the long term. We'll give them the network and services they need and deserve," he said in a statement.
The company will reduce the number of office roles, will review customer-facing roles, and look to cut "non-essential costs."
Morrow also announced the appointment of a number of new executives, including James Marsh as the new CFO, replacing David Boorman, whois set to depart the company at the end of this year.
Brad Whitcomb will come on board as the company's director of strategy, transformation and business development, Cliff Woo will be the new chief technology officer, and Kim Clarke will be the director of the consumer business unit.
The job cuts come after a torrid 18 months for Vodafone, following the company's infamous network troubles that began in late 2010. and the company lost approximately 700,000 customers between 2010 and 2012, sliding from 7.5 million to 6.8 million as of June this year.
The company is currently rolling out a billion-dollar overhaul of its network, replacing legacy 2G and 3G network equipment with Huawei SingleRAN units, which will also allow Vodafone to switch on a 4G network .
Morrow said that the company was close to completing the first phase of its new network roll-out. He also said that Vodafone recently completed its first test calls on the 4G network.
As part of its own restructure this year, Optus. The majority of this restructure has been completed, with the final redundancies coming from Optus' business division.