Telstra cuts back, but not in NZ

Telstra Corporation says it has not confirmed how many jobs will be cut under its plan to simplify its business, but jobs in New Zealand are safe.

Media reports yesterday suggested the telco giant would cut 6000 staff over the next three years as part of its A$1 billion ($1.3 billion) plan to reverse its falling financial performance.

Telstra says its new strategy is aimed at maintaining and growing market share and will involve a simplification of its business, cost-cutting and an improvement in customer service.

A spokesperson for Telstra said the company had not determined how many jobs would go as part of the programme.

"Telstra has not confirmed the number of affected employees and when we do, we will first speak directly to them," the spokesperson said.

A spokesman for Telstra's New Zealand business, TelstraClear, said there were no plans for cuts to the local workforce.

"While fully owned by Telstra, TelstraClear faces a different environment and challenges from Telstra and is therefore not included in the Telstra initiatives announced yesterday. TelstraClear's strategy, which has been signed off by its board, is one of focusing on aggressive growth," he said.

- ADDITIONAL REPORTING: AAP