07 November 2000 Telstra has announced it will outsource part of its IT services to Deloitte Consulting Consortium, cutting around 340 jobs as part of an overall push to slash thousands from its workforce. However, the company claims affected staff will be offered positions with the new provider. The IT outsourcing deal with Deloitte is part of the overall planned reduction of 10,000 Telstra jobs announced earlier this year. According to King, most of the jobs lost are based in Melbourne. Telstra is currently outsourcing additional IT services to IBM Global Services Australia.
Telstra staff face further job cuts as the outsourcing program is extended.
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