Vodafone has announced plans to cut costs by one billion euros (£880 million) after the mobile network said its adjusted earnings dropped by 2.6 per cent in H1 2022.
The huge cut in costs could mean many job losses, but Vodafone’s chief executive Nick Read did not specify where redundancies would be made.
“In terms of redundancies, of course, when we drive efficiency, product improvements and digitisation, there are impacts on some job roles,” he said.
“But we are also creating jobs in other areas, such as DevOps, tech development and software engineers, which are growing significantly.
“We are growing in a number of areas but obviously there will be efficiencies in other activities.
He continued to say that the network will take “pricing action” across Europe despite price changes already being made in 12 out of 13 European markets which have included a rise in contract prices.
Read added: “I think we need to take a step back because our industry has faced a decade of deflation, and we are facing significant negative impacts on inflation and energy.
“So price is a key component of what we have to do, like every other sector that is making price increases. We are talking £1 or £2 a month on the typical bill.
“If you draw a comparison to mortgages or filling a tank of fuel for a car, I would say for what we offer, we are giving tremendous value.”
Vodafone has also implemented a cost-of-living plan for its customers, including social and low-cost tariffs, and extra support measures for consumers and businesses.