Vodafone to cut about 2,300 jobs in Germany, almost one in five, and lean further on AI

The cuts and their scope

Vodafone Germany plans to cut or relocate about 2,300 positions over the next two years, according to its chief, Marcel de Groot, who told staff of the plan. The company employs roughly 12,000 people in Germany, so the reduction comes to just over 19 percent, or almost one job in five. De Groot delivered the message in a live broadcast to more than 12,000 employees on Monday morning, 9 November 2026. RP Online reports that staff at the Düsseldorf campus are likely to be affected as well.

Why Vodafone is cutting

The company says it wants to simplify its structures and become more effective after years of heavy customer losses. Savings are planned in property and operating costs, but the main lever is personnel costs. Cuts are expected to fall mainly on administrative areas, management levels and duplicate structures, some of which date back to earlier acquisitions such as the cable operator Unitymedia. Manual workflows and standardised processes are to be automated more widely. The backdrop is intense competition in the German telecoms market, where Vodafone lost market share to rivals in fixed-line and broadband. The end of the cable TV utility-bill privilege added margin pressure as operators competed for millions of TV customers.

Investment in growth areas

Despite the job cuts, Vodafone intends to invest in what it describes as future-oriented segments. Those include fibre networks, and cloud and security services for business customers. The company also plans to expand digital customer channels to improve customer experience and loyalty. Vodafone states that AI will reduce costs inside the company and strengthen revenue in new business fields.

The chief's message to staff

De Groot said the company had achieved a good deal over the past two years. He pointed to a stabilised business and renewed momentum among business customers.

“We have stabilised our business, are regaining momentum in business customers and are getting better and better in products, networks and services.”

He nevertheless said that this was not enough, because the market was changing faster than the company had seen before.

“Because our market is changing fundamentally, and at a speed we have never experienced before.”

He also warned that competition is getting harder, and that past success does not guarantee the future.

Rival O2 Telefónica

Vodafone is not alone in trimming its German workforce. O2 Telefónica already decided on a tough savings programme last summer, and plans to cut 1,100 positions this year. The Vodafone reports note that this is about every sixth job at O2, which had 6,820 full-time positions at the start of the year.

Vodafone Germany (next two years)2,300

O2 Telefónica (this year)1,100

Vodafone Germany (next two years)

2300 jobs

O2 Telefónica (this year)

1100 jobs

Data from the article text