U.K. telco BT reported fiscal second quarter earnings that included a drop in EBITDA that the company had earlier issued a warning about, but the bigger news was that BT announced it will cut a total of 10,000 jobs by next year. About 4,000 jobs already have been eliminated and another 6,000, mostly indirect jobs, such as contractors, are still to be made.
BT has several outsourcing partners, chief among them India's Tech Mahindra, though it's not yet clear how such partners will be affected. BT CEO Ian Livingston, who has been at his job less than a year, said that three of the company's units--BT Wholesale, BT Retail and BT Openreach--delivered strong results, but that the financial performance of BT Global Services has been lacking. Livingston recently installed a new chief at the Global Services unit.
- India's Business Standard follows the cuts
Livingston was named BT CEO last April
BT issued an earnings warning earlier this month