The Anil Dhirubhai Ambani-led telecom company Reliance Communications has stated that the total number of jobs and recruitment in the company have reduced to 3,400 at present by about 94 percent from a high level of 52,000.
The jobs at the RCom was at its peak at around 2008-10. But gradually the number has decreased, maybe due to the pressure of debt. The company is losing its balance lately under a debt of around Rs 45,000 crore.
“Total number of people in the RCOM group: from peak of approximately 52,000 to current 3,400, a reduction of approximately 94 percent,” RCom said in a filing.
The company has closed its mobile services business this year in January and continues to provide business-to-business (B2B) telecom services. The telecom firm in the filing stated that its B2B department is protected from facing the tariff war in the industry.
“The tariff wars between the incumbents- Airtel, Idea, Vodafone and the new entrant Reliance Jio continue unabated, further dragging down all key financial metrics of the wireless sector. However, post its wireless B2C business exit on Jan-18, RCOM is no longer affected by the severe and prolonged wireless sector hyper-competition,” the filing stated. “RCom operational business fully insulated from the hyper-competition, mega capex requirements, financial stress of the wireless sector,” it added.
The Telecom Regulatory Authority of India recently announced the latest sector revenue report and it is quite obvious that the wireless sector continues to be on a downward spiral, with over 21 percent revenue decrease year after year.
The RCom telecom needs to tie up its laces and work harder in order to come back to the pace and again stand in competition with the other telecom companies in the market.