Virgin Media UK Set to Axe 600 Management Jobs

Cable operator Virgin Media looks set to slash 600 of its top management jobs across the United Kingdom because their new owner, Liberty Global, are looking to save money following a £15bn (enterprise value) acquisition of the broadband, phone and TV giant.

The move, which follows February 2013’s recruitment drive to create an extra 400 new jobs (here), would take a significant chunk out of the operators 15,000 strong workforce across the country but they remain adamant that the cuts will not impact the quality of service.

A Spokesperson for VirginMedia said:

“We’re taking the opportunity of becoming part of Liberty Global to find the best shape for Virgin Media to continue setting the pace in this fast moving industry. There will be changes and it’s possible we’ll lose some valued colleagues along the way but this will not impact our absolute focus on our customers, where we’ve invested in creating a thousand extra customer service roles in our centres of excellence such as Swansea this year.

We’re building an agile and efficient organisation that’s fit for growth and can make the most of being part of the biggest cable company in the world.”

According to some additional information from the FT (paywall), around a third of Virgin Media’s 120 executive directors and directors could be included. This is to be expected because any major merger will produce duplication and that invariably needs to be streamlined. Engineers and call centre staff thus look set to escape relatively unscathed.

Liberty Global has previously pointed to the “significant potential to monetize [Virgin Media’s] customer base” and has also hinted at plans to launch a new range of products and services. Meanwhile the operator intends to continue investment into its broadband platform and is trying to stay out of the premium TV content war (e.g. Sports) between BT and Sky (Sky Broadband).