ZTE India slashes 30% workforce

The telecom equipment maker, ZTE has laid off almost 30% of its workforce to nearly 600. This lay off came amid mounting financial stress owing to declining India business as telecom operators have cut down on expenditure.

"Resources aligned by ZTE to manage Bharat Sanchar Nigam Limited (BSNL), Vodafone Idea and Bharti Airtel networks are now cut down to more than half due to financial pressure and falling business," an industry source told to a news source.

Previously, the number of employees was 1,000. The majority of job were slashed in the wake of Covid-19 outbreak that forced shutdowns, in the February-April period.

The current workforce strength included on-roll, contract, and outsourced manpower.

The main reason behind sacking was ZTE did not having enough projects in India, but has traditional customers include Vodafone Idea, Bharti Airtel and BSNL which too are financially troubled," a former employee said.

Of the network teams dedicated to the three incumbent operators, 70% to 80% of them were asked to leave since the lockdown started, and were given two months’ salary as part of the severance package.