Vodafone Germany has outlined its objective to achieve approximately €400 million in savings over the next two years as part of a restructuring initiative that will impact around 2,000 jobs, the company announced on Tuesday.
Vodafone Germany Plans €400-Million Cost Savings
This decision is aligned with a cost-cutting strategy
unveiled nearly a year ago, which aims to eliminate approximately 11,000 jobs
globally.
The company stated, "Personnel costs will be reduced
through savings and the relocation of around 2,000 jobs — also because manual
tasks will be performed by increased automation in the future."
A significant portion of the savings will be derived from
the decommissioning and modernization of outdated IT infrastructures,
highlighted the telecommunications firm, a subsidiary of the British telecoms
behemoth Vodafone Group, which also holds ownership of South Africa's Vodacom
Group.
Despite the cost-cutting measures, Vodafone Germany intends
to bolster its investment in high-growth areas such as cloud services and
corporate client business segments.
Vodafone Announced Leadership Changes
The mobile phone giant, which experienced rapid expansion
across Europe in the early 2000s, has faced challenges in certain markets,
particularly in Spain and Italy. Recently, it reached an agreement to divest
its Italian operation to Swisscom.
Earlier this month, Vodafone announced leadership changes in
its largest market, Germany, appointing Ahmed Essam from Vodafone UK as the new
executive chairman of Germany and CEO of European Markets, replacing Philippe
Rogge.