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TeliaSonera to cut 2,000 jobs

TeliaSonera plans to cut 2,000 staff

Swedish operator group TeliaSonera will slash approximately 2,000 jobs, representing seven per cent of its total workforce. The announcement was made as the firm announced its earnings from the quarter ending September 2012, in which it saw net sales decrease year-on-year by 3.2 per cent to SEK 25.8bn ($ 3.9bn).

The firm’s net income also decreased 1.2 percent to SEK4.80bn, although the number of its subscriptions grew by four million. CEO Lars Nyberg explained that the personnel reductions will be made after the firm carried out an in-depth analysis of its operations lasting several months.

“The ambition is to fundamentally change our business by simplifying our way of working. We estimate this will lead to a cost reduction of some SEK2bn net over the coming two years,” he said.

In September 2012, TeliaSonera became subject to media allegations of bribery and money laundering related to our 2007 investment in a 3G license and frequencies in Uzbekistan.

Nyberg admitted that the allegations the firm is facing are severe, but is convinced that they are unfounded.

“To clarify the factual circumstances and ascertain whether there are any grounds for the allegations, TeliaSonera has initiated an external legal review, to be presented before the end of the year,” he said. “The anticorruption unit of the Swedish Prosecuting Authorities has also initiated an investigation, which we welcome and will cooperate with.”

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