Telenor Cuts 400 Jobs in Sweden

Telenor's Sweden division has announced plans to cut 400 jobs, out of a total work force of 2,400 in the country. The bulk of the job cuts will be in cities of Stockholm and Karlskrona. The company will also be ending contracts with 135 consultants.

"Despite our major efforts, revenues have not increased at the desired rate. We now have significantly higher prices than our rivals and this is untenable long-term," said Lars-Åke Norling, head of Telenor Sweden, in a statement. "In order to reach our goal of being competitive in the Swedish market, we must reduce our costs and work more effectively. Unfortunately, that means we have to reduce the number of positions, which is obviously a difficult decision for the entire organization."

The company is offering terms to staff who take voluntary redundancy, but does not rule out compulsory redundancies if necessary in September.

Posted to the site on 8th June 2009