Making a big announcement, Vodafone, one of the world's largest telecom companies, has said to lay off 11,000 employees. The company's CEO Margherita Della Valle said that there is a need for drastic changes in the company. This announcement has been made by the company after the figures of the first quarter.
The CEO said that the performance of the company has been very poor. In such a situation, the need for a lot of change is being felt in the company. At present there are 1,04,000 employees all over the world. There is a plan to complete the process of employees from the company in 3 years.
The decision was taken because the earning was less
This decision of Vodafone has come at a time when the company's earnings have remained at 1.3 percent i.e. 14.7 billion euros. Which is basically less than 15-15.5 billion. The company said the decline in earnings was due to higher energy costs and commercial underperformance in Germany. The company said that a further drop in income is expected next year, which could come down to 13.3 billion euros.
Will there be an impact in India too?
Vodafone is working closely with Idea in India. Here also the company is in loss. By the way, Birla Group has again assured to strengthen this joint venture again, but the path of debt burdened Vodafone Idea is not easy. The effect of the decision taken by Vodafone can be seen in India as well and retrenchment can also be seen here. A decision on this can be taken only after the consent of the Birla Group.
Company shares flat
Vodafone has announced big layoffs. By the way, the stock of the company is visible flat. The UK based company's stock closed at 90.16 GBX on 15th May. GBX is one hundredth of a pound. At the same time, in India, the stock of Vodafone Idea is seeing a gain of more than one and a half percent and the company's stock is trading at Rs 7.21.
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