Telefónica Germany is discussing a restructuring plan that could eliminate around 1,000 jobs, roughly 15 percent of its 6,800-strong workforce, as the subsidiary grapples with falling revenue triggered by the end of a wholesale network-leasing agreement with 1&1.
The departure of 1&1, which migrated approximately 12 million mobile lines to Vodafone's network, contributed to a 3.8 percent drop in annual revenue to €8.2 billion and an 8.8 percent decline in EBITDA to €2.5 billion. The company confirmed it is reviewing measures to strengthen competitiveness and ensure long-term viability, and has opened talks with worker representatives over the potential cuts.
Chief Executive Santiago Argelich Hesse, who took the helm in January 2026, has already shrunk the management board from seven members to six as part of a broader overhaul.