🚀 AI-picked stocks soar in May. PRFT is +55%—in just 16 days! Don’t miss June’s top picks.Unlock full list

UPDATE 1-Australia's Telstra to beef up contract staff, freeze job cuts

Published 20/03/2020, 11:01 am
© Reuters.
AXJO
-
TLS
-
QAN
-

(Adds details on measures to add staff, bring forward investment, background on current economic climate)

March 20 (Reuters) - Telstra Corp TLS.AX said on Friday it will freeze job cuts for now and hire 1,000 temporary staff at a time when other Australian companies are laying off workers and slashing expenses due to the coronavirus pandemic.

Shares in Australia's largest telecom company were down 1% in early trade, compared with a near 3% bounce by the broader market .AXJO .

Telstra put off any job cuts over the next six months and said the 1,000 temporary contractors it plans to hire will help handle the growing volumes at its call centres.

It also said it would double-down on its 5G roll-out by bringing forward A$500 million ($284.10 million) in capital spending to this year from the second half of fiscal 2021.

"We are looking at every aspect of our business to see what we can do for our employees, customers, suppliers and the economy more broadly, while we maintain a focus on long-term value creation," Chief Executive Officer Andrew Penn said in a statement.

Sponsorships that are set to expire this year will also be renewed by another 12 months, Telstra said, adding that it will suspend late fees for customers and small businesses unable to pay their bills.

Penn said it was difficult to pin-point the impact of the coronavirus on Telstra right now.

"We know there will likely be more impacts for us from a financial perspective through this unprecedented period."

The dire consequences of global travel curbs and shutdowns prompted Australia's central bank to say on Thursday that it will do "whatever is necessary" to support the country's economy as it made a historic foray into quantitative easing. same day saw Qantas Airways QAN.AX tell two-thirds of its workforce, about 20,000 employees, that they will be temporarily laid off as Australia told its citizens not to travel abroad. = 1.7599 Australian dollars)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.