Telefónica has reached agreement with trade unions that will lead to layoffs for 3,421 employees.
The Spanish telco said Wednesday it would spend €1.3 billion on the redundancy plan as it looks to reduce costs. Average annual savings from direct expenses are estimated around €285 million from year 2025
Employees aged 56 years or over, with a seniority of 15 years, will be eligible for the programme.
Telefonica has reached a Collective Bargaining Agreement with unions UGT, CC.OO. and Sumados that will run until 31 December 2026 with the option to extend for a further year.
The agreement will aim at attracting the best talent into the company while reskilling the existing workforce and improving the company’s competitiveness.
