Telefonica Brazil to lay off 1,500 as result of Vivo Participacoes deal

Telefonica Brazil, the Brazilian subsidiary of Spain's Telefonica (NYSE: TEF), will be handing out pink slips to 1,500 employees in Sao Paulo and Rio de Janeiro now that its merger with Vivo Participacoes SA is complete.

According to a post on the website of Sao Paulo state telecommunications workers union Sindicato dos Trabalhadores em Telecomunicacoes no Estado de Sao Paulo, Telefonica initially planned to lay off more staff.

However, the union was able to reduce the amount of job losses and obtained a benefits package for those employees who were affected by the cuts. The job cuts affected about 8 percent of the service provider's total workforce of 18,885 as of December 2011.

Telefonica Brasil did not provide a comment on the job cuts.

For more:
- Bloomberg has this article

Related articles:
Telefonica-Vivo racks up 1 million users on Brazil's broadband plan
Telefonica Brazil gets ready to launch TV service
Brazil's broadband plan is now present in 692 municipalities
Netflix in Latin America: Is success guaranteed?

Suggested Articles

France and Germany are teaming up to jointly create a cloud-computing ecosystem that would challenge AWS, Microsoft and Google, according to Reuters.

Calix has teamed up with Spirent for a single lab that speeds up testing cycles while lowering powering and capex.

VMware announced on Thursday that it has struck a deal to buy network security vendor Lastline for an undisclosed sum.