T-Systems confirms restructuring – 10K jobs impacted

Deutsche Telekom’s T-Systems division is undergoing a major restructuring with the aim of saving 600 million euros in three years through cost cuts and a reduction in its workforce.

Around 4,000 jobs are to be relocated and 6,000 cut worldwide. T-Systems currently employs around 37,000 people worldwide, 17,800 of them in Germany. There are four large-scale delivery centers worldwide (in Germany, Slovakia, Hungary and a newly formed center in India).

T-Systems will increase its investments in growth areas, including Internet of Things (IoT), Cloud, SAP, security, digital solutions, toll collection and services for the public sector.

T-Systems CEO Adel Al-Saleh states “Our strategy is in place: We are aligning ourselves to eleven portfolio units, we have initiated four change initiatives and are now implementing the plans,” explains Al-Saleh. “This will turn T-Systems into a digital service provider for our customers.”