Agreement between Telefónica and unions to reduce workforce by 3,421

Telefonica guapa

The agreement that has been reached between Telefónica and the unions was made possible by reducing the number of people affected by the ERE (redundancy proceedings) and improving the conditions.

The ERE will finally be aimed at 3,421 people, 2/3 of the initial total, 2,958 workers from Telefónica España, 397 from Telefónica móviles and 66 from Telefónica Soluciones.

The workers will receive between 52% and 68% of their salary until they reach 63 years of age and 34% to 38% between 63 and 65 years of age, depending on their year of birth.

Renta 4 analysts’ assessment: Positive news. In the coming months we will see how many workers finally take advantage of the redundancy programme. We estimate that Telefónica will make a provision of around €1,700 million in 4Q 23 or 1Q 24 for this concept. P.O. €4.6. OVER PROVISIONS.

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