Telstra confirms 800 roles to go at Sensis

Telstra has confirmed 800 roles are facing the knife at its Sensis division as it prepares to undergo consultation with affected employees.

The proposal to cut 800 positions would support Sensis’ transition into a “digital business”, and will affect workers across its advertising, sales, management and support business units. 

The proposed restructure also includes the creation of two call centres in Melbourne and Sydney, streamlining of Sensis’ product and go-to-market structures, as well as a new “mobile and flexible operating model” for sales teams to reduce admin workload and focus on customer interaction.

Telstra sold a 70 percent stake in its Sensis business to US-based private equity firm Platinum Equity for $454 million in January. The majority stake included Sensis’ directories and WhereIs maps business, while Telstra retained the more lucrative voice services portion of the business.

Telstra’s remaining Sensis business was expected to contribute initial EBITDA of around $70 million, but is predicted to decline over time.

“These changes are designed to support our growing digital business, respond to competition and deliver improvements in the service we provide to our customers,” Sensis managing director John Allan said in a statement.

“As a leader in digital marketing services and print directories serving Australian businesses, Sensis needs to remain responsive to the changing media landscape. While these decisions are difficult, they are necessary to ensure Sensis maintains its competitive position.

“These are very difficult decisions and are never taken lightly. We are working with our people to keep them informed and to provide support for those who may be affected by the proposed changes should they proceed.”

More to come