Telecom's enterprise IT business Gen-i is cutting loose 120 roles in its Australian division, according to a statement released to the New Zealand Stock Exchange.
Telecom says Gen-i Australia's staff numbers will fall from around 180 to 60, as part of ongoing restructuring and cost-cutting throughout the business.
(Gen-i boss Tim Miles)
Gen-i chief executive Tim Miles says the company is looking to transfer some customers to AAPT, an Australian telco wholly owned by Telecom.
Miles says Gen-i Australia has had problems scaling in Australia. The company is now retreating to focus on servicing trans-Tasman businesses.
Miles adds that it's unlikely there will be local job losses as a result of the retreat, according to the NBR. However, there could be further job losses at Gen-i as part of sweeping measures across Telecom. Earlier this year Telecom CEO Simon Moutter said a strategic review could see the loss of hundreds of jobs at the company.