Virgin Media O2 to cut around 25% of staff in cost‑saving drive

Virgin Media O2 announced on 3 November that it will lay off roughly 25 percent of its 16,000‑strong workforce as part of a major cost‑saving programme.

The telecoms group said most of the redundancies will affect non‑customer‑facing roles and are intended to cut labour costs by 30 percent, delivering about €300 million of savings by 2029.

Restructuring expenses are projected at around €250 million, which the company expects to repay within a year. Overall, the overhaul of its fixed and mobile network units aims to save approximately €800 million by 2029, with about €400 million realised by 2027.

In a statement, Virgin Media O2 described the plan as creating a “leaner, simpler organisation”, focusing resources on larger opportunities and increasing the use of AI tools for faster decision‑making. CEO Lutz Schüler cited a “tough macro‑economic climate” and a “shrinking broadband market” as drivers of the changes.

The announcement follows a 5.7 percent drop in total revenue for the latest quarter, prompting the company to halt further fibre‑upgrade investments beyond existing commitments.

Virgin Media O2 is jointly owned by Liberty Global and Telefónica.

Source: Silicon Republic. Photo: Brett Sayles / Pexels.