Telstra (ASX:TLS) expects 92 local positions in its wholesale business to be cut as a result of proposed workforce changes.
Despite the redundancies in its wholesale business, however, the telco plans to create 38 new roles within the organisation.
The company said that its wholesale business had commenced consultation with its staff on a proposal to change the way it resources its billing and some of its back-end business processes.
"If the proposed changes go ahead, there will be some roles impacted and we are working with our teams to ensure they have the support they need during this period. Decisions that impact our employees are not taken lightly," a Telstra spokesperson said in a statement.
"As our wholesale business responds to increasing competition and prepares for a post NBN environment, these are the difficult decisions we need to make to evolve and support our new growth areas.
"We are working with those impacted to help them look for appointment opportunities within and outside of Telstra. We do not expect the proposed changes to have any disruption to customers," the spokesperson said.
The Community and Public Sector Union (CPSU) told its members on 16 March that if Telstra’s proposed changes in its wholesale and finance areas go ahead, it would result in the offshoring of work of all back-of-house wholesale billing functions and all back-of-house wholesale order provisioning and delivery functions.
The changes are also expected to result in the offshoring of a number of transactional wholesale facilities access functions, if the proposed changes proceed as planned, according to the union.
The CPSU said it had also been notified of a proposal that would result in changed within Telstra Operations, specifically the Telstra software engineering area.
“These proposed changes would see 20 existing positions become redundant, with 25 new roles created,” the union said in a statement.
The CPSU said it would meet with Telstra in the coming week to discuss the proposals.
In June last year, Telstra confirmed that it was planning to cut around 1,400 jobs from its ranks, with the telco subsequently revealing that the cuts would affect roles right across the company’s entire business, as it embarked on its overarching transformation strategy.
In a message sent to Telstra employees, the company’s CEO, Andrew Penn, revealed that the cuts would come from most parts of the business across much of the country.
“We are consulting with our people on proposed changes that would ultimately result in up to 1400 roles no longer being required over the next six months,” he said at the time.
“This impacts positions from most parts of the business, at all levels of seniority and from all states and territories and, in some cases, internationally.”
The proposed redundancies, according to Penn, were all part of broader plan to better position the company to tackle evolving market and technological pressures.
“Telstra faces an unprecedented world of technology innovation and digital disruption,” Penn said. “This presents opportunities because we are at the centre of helping our customers adapt to technology innovation in their own industries.
“However, it also presents significant challenges as technology is disrupting our own operations as well. I strongly believe we can succeed in this environment, however to do so we need to transform, urgently,” he said.
Article updated at 4:00PM on 16 March to include comment from Telstra and provide clarification on the number of roles affected.