BT will announce about 6,000 job cuts worldwide "as it looks to rebuild investor confidence" after a "patchy" financial performance, according to Mark Sweney of the London GUARDIAN. The telecom is expected to announce the cuts, which amount to about 6% of its 98,000 global workforce, "as part of a corporate strategy" to be unveiled by CEO Gavin Patterson at BT’s annual financial results next Thursday. The latest round of cuts, which are expected to affect managerial and back-office employees, will mean BT will have "shed" 10,000 jobs in the last year. Analysts estimate that the cuts will ultimately save BT about £500M ($676.8M) from its £4.7B ($6.4B) annual wage bill. BT declined to comment. Prospect, the union representing 140,000 public and private sector workers such as engineers and managers, said that it "expected to be consulted and heavily involved" in any job cuts program. Prospect National Secretary Philippa Childs said, "Our priorities are to ensure that our members' jobs and livelihoods are protected." Patterson has "endured a rollercoaster 18 months" that has included a record £42M ($56.8M) fine from regulator Ofcom. He authorized a £1.2B ($1.6B) deal to keep exclusive Champions League rights, an increase of a third on BT's current deal, as the "popularity of its BT TV service began to wane." Patterson then "called an end to the expensive strategy of trying to outgun Sky" for the Premier League TV rights in the latest auction -- settling for a "viable second," bringing to an end years of "spiralling rights inflation that has cost both sides billions" (GUARDIAN, 5/4).
