Telefónica is planning to lay off up to 5,000 employees at Telefónica España and its subsidiaries Móviles and Soluciones.El Economista reports that it has started talks with unions and opted for the Employment Regulation File (ERE, or collective dismissal) model instead of the traditional Individual Suspension Plans (PSI) to impose the cuts.
These will affect a minimum 10% (or 1,600) of the 16,000 threatened jobs, though the total could rise to 5,000.
Significantly, with the ERE model the cost of the layoffs will be borne by the public rather than Telefónica itself.
It is believed Telefónica will also impose job cuts in other markets it is present in.
