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BT cuts over 11,700 jobs in one year with more job losses to come
BT has cut 11,712 jobs in the past year, reducing its UK workforce of staff and contractors by 11%, and its leadership says further reductions are planned. The cuts form part of a drive to simplify the business and lower costs, helping lift short-term profits as BT faces a challenging market.
More than 7,700 roles were removed in the last six months, leaving BT with about 90,000 workers; chief executive Allison Kirkby aims to reduce that to 65,000 to 70,000 by 2030. For the six months to September, pre-tax profit rose 12% to £1.1 billion and revenue increased 1% to £8.8 billion, while free cash flow fell 59% to £236 million and debt rose by £1 billion to £21 billion. BT reported £312 million in annualised savings, maintained its full-year forecasts and raised its interim dividend by 2% to 2.5p per share; it also expects to spend around £400 million rescuing TalkTalk and is responsible for 2.5 million of its customers.
In short
- BT cut 11,712 jobs in a year, with more cuts planned.
- The workforce could fall to 65,000 to 70,000 by 2030.
- Profit rose, while free cash flow fell and debt increased.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
BT can argue that simplifying the business and reducing costs are necessary to stay competitive in a difficult market, strengthen its finances and fund future investment. The rise in pre-tax profit and reported savings suggest the changes are delivering some near-term benefits, while planned reductions could help the company meet its longer-term targets.
The case against
Workers and their representatives can argue that cuts on this scale threaten livelihoods, weaken skills and place greater pressure on those who remain, while risks to service quality may affect customers. The lower free cash flow and higher debt also raise questions about whether job losses and savings are enough to secure BT’s long-term position, particularly as it takes on the cost of supporting TalkTalk.
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