NTL warns of 5000 UK layoffs
Spending spree takes its toll
NTL has warned it will slash up to 5000 jobs in Britain over the next two years.
The UK cable operator is set to axe up to 2500 during the next year, with the remainder going by the end of 2003.
The staff reduction plans were revealed by NTL UK MD Stephen Carter yesterday - he said that, if everything else remained constant, the business would only need a headcount of 15,000.
The move is a bid to make the company more profitable after its recent spending spree - NTL has bought 11 companies in the UK and Europe in the last 18 months.
The job cuts, which came just hours after NTL upped its earnings forecast for the next two years, add to the 2,300 staff cuts announced earlier this year.
In its revised forecast, the company said it expected to earn £100 million more than predicted for 2001 (now £845 million), and £125 million more in 2002 (£950 million).
It also recorded earnings of £115 million for Q2, adding that its broadband users rocketed 74 per cent to 45,750 during the quarter. ®