Telstra takes 170 jobs to India
- 09 July, 2013 15:44
Telco giant, Telstra, will look at outsourcing 170 Australian jobs to India, from its Network Applications and Services (NAS) division.
NAS head, David Burns, said the positions are ‘non customer facing functions and services to industry partners’. About 90 contactors will also be effected and it will impact positions in capital cities including Hobart and Canberra.
Part of the NAS growth strategy, Burns said was to expand into international markets, particularly the Asia-Pacific region.
“Discussions are currently underway regarding the establishment of delivery centres in conjunction with industry partners located in India,” he said.
Burns said it will consult and work closely with staff on this proposal, and it takes its responsibility to support them through this process very seriously.
“We absolutely understand the impact this will have on our staff,” Burns said.
If the telco does decide to proceed with its plans, the transition would likely start from October and would be completed by October next year.
Asked why the jobs could not be done in Australia, Burns said the move was about growth and supporting clients offshore.
"We need to be able to support our customers as they move into that South-East region and we need to be competitive as we do that," he said.
"Accessibility to deep pools of talent and the ability to respond to our customer requirements is a fundamentally important component of this services business."
NAS achieved 11 per cent growth in revenue to $636 million in the first half of 2012/13, accounting for five per cent of Telstra's revenue.
The business is one of Telstra's strongest growing divisions and has customers including Jetstar and Fitness First.
It recently landed $1.1 billion Defence Department contract, which Burns said would be met with only local staff, and it planned to hire about 350 people. NAS added about 146 staff in Australia in the last financial year.
In May, the telco revealed plans to massively restructure its business and stated the changes may result in some redundancies.
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