The company seeks to cut staff numbers due to a drop in revenue and record loss and debt levels recorded in 2018.
Telekom Romania plans to lay off 692 people out of a total staff of 5,831. It said 438 jobs will be slashed within Telekom Romania Communications S.A. and 254 jobs within Telekom Romania Mobile Communications S.A..
The group reported revenues of EUR933 million in 2018, down 4% on the year, and an operating profit of EUR136 million, down 15%. In the fourth quarter, its operating profit dropped 40% and its profit margin nearly dipped below 10%.
Overall, Telekom group reported a turnover of RON4.7 billion (EUR1 billion), a net loss of RON784.5 million and total debt of RON6.2 billion. Even though its loss narrowed 40% on the year, it is still the biggest in the industry.