BCE to cut 2,500 Management positions

BCE Inc. announced today that it will cut about 2,500 management jobs, representing about six per cent of Bell’s workforce. The downsizing includes the 30% reduction in executive positions announced back on July 11th. Canada’s largest telephone company said in a statement. “Combined with other reductions undertaken earlier this year, the changes announced today are expected to provide annualized savings of approximately $300 million.”

George Cope, BCE’s president and CEO, stressed that the changes are absolutely necessary.

“We are moving forward with a streamlined management structure that brings everyone at Bell closer to the customer and allows us to compete more effectively,” he said. “This new structure positions us as a far more efficient and cost-effective operator in the intensely competitive Canadian communications marketplace.”

Earlier this month, the public company said its $52-billion takeover by a private group would go forward at the agreed on price of $42.75 per common share. The deal, the world’s biggest leveraged buyout, is expected to close on Dec. 11, 2008. The takeover group is led by the Ontario Teachers’ Pension Plan.