Telefonica considering 6,400 job cuts in Spain

Spanish telephone company Telefonica says it is considering cutting its domestic work force by 20 percent, or some 6,400 jobs, over the next three years as it seeks to reduce costs in a sluggish economy.

The figures are contained in a presentation on Telefonica’s website that will be discussed at an investors’ conference in London on Thursday. Telefonica employs about 32,000 in Spain.

The company said it is also considering making pay and benefits revisions more linked to productivity than to inflation. Telefonica said it will cut manager positions by 6 percent.

The firm said in February its revenue in Spain was down 5 percent in 2010 as the country struggles to recover from nearly two years of recession and 20 percent jobless rate.

From: Economic Times