BT to cut 55,000 jobs with a fifth replaced with AI
BT has announced plans to cut up to 55,000 jobs globally, including in the UK, by the end of the decade in a cost-cutting measure. The telecom giant plans to cut around one-fifth of jobs in customer services, as the company plans to replace staff with cutting-edge technology such as artificial intelligence. The reduction in headcount will impact both employees and contractors with the aim of creating a smaller workforce by the end of the decade, according to BT’s CEO Philip Jansen. The announcement came after Vodafone announced its plans to cut 11,000 jobs over the next three years.
BT has reported a 12% decline in profits – around £1.7 billion for the year ending in April. Jansen expressed his vision of BT becoming a more streamlined business, with jobs cuts of between 40,000 and 55,000 by 2023.
As the company continues expanding its fibre network, it foresees requiring 15,000 fewer employees once the infrastructure work is completed. The transition from copper to fibre networks is expected to reduce the need for maintenance personnel and advancements in technology will likely reduce the need for staff, especially in customer service roles.
