TEF Telefonica SA

By Andrea Figueras

Telefonica proposed a workforce restructuring plan that will affect 5,124 jobs in Spain as part of its reorganization.

The Spanish telecommunications company on Monday told unions that it aims to implement a labor force adjustment plan by 2026, due to organizational, technical and production needs, a spokesperson from trade union UGT told Dow Jones Newswires.

According to the company's 2022 annual report, Telefonica employed 20,947 people in its home market.

Telefonica didn't immediately respond to a request for comment.

"Although there will likely be layoffs, a number of affected people may be relocated to other activities and trained for other jobs within the company," the spokesperson said.

Affected employees will be those born before 1968--more than 55 years old--and who have been with the company for at least 15 years, the union said.

"There are jobs that have become obsolete. There is a need to relocate personnel to other activities," UGT said, although it claims that the number of jobs affected should be significantly lower.

The company and unions have started negotiating the layoffs and their next meeting will be on Dec. 11.

Write to Andrea Figueras at andrea.figueras@wsj.com

(END) Dow Jones Newswires

December 04, 2023 09:37 ET (14:37 GMT)

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