BT has announced plans to reduce its workforce by up to 55,000 roles by 2030, representing more than 40 per cent of its global employee base, as the telecoms group aims to become a 'leaner business'. The cuts include approximately 10,000 jobs expected to be replaced by artificial intelligence.
The company, which employs around 130,000 staff worldwide, said it intends to shrink its total workforce to between 75,000 and 90,000 by the end of the decade. Around 80,000 of its current employees are based in the UK, and a 'big chunk' of the reductions are expected to affect British workers as the rollout of full-fibre broadband and 5G infrastructure is completed.
BT chief executive Philip Jansen said the introduction of AI across the business could result in the elimination of about 10,000 roles. 'We will be a huge beneficiary of AI,' he said. 'I believe generative AI is a huge leap forward.' The company also expects to rely on fewer contractors and natural attrition to achieve the cuts, with only 5,000 roles classified as 'normal' restructuring.
Unions have expressed mixed reactions. Prospect, representing thousands of managers, said it was 'deeply concerned by the scale of these cuts' and demanded an urgent meeting with the chief executive. However, the Communications Workers Union (CWU) said the plan was not a surprise, noting that the completion of fibre infrastructure and new technologies would inevitably reduce labour costs. The CWU emphasised it wanted to retain as many direct labour jobs as possible and that reductions should first come from subcontractors.
The announcement follows a year in which BT reported a 12 per cent drop in pre-tax profits to £1.7bn. The company aims to achieve £3bn in annualised cost savings by 2025. It also revealed that its pay-TV sports joint venture with Warner Bros Discovery made a £123m loss, citing cost of living pressures affecting the premium sports subscription market.
