Telstra flags more job cuts over coming years: Midday Roundup

Telstra may end up shedding more jobs over the next few years, the company has said, just a day after it announced 1100 job losses.

Chief operations officer Brendon Riley told Fairfax radio this morning that “every year we will get a little smaller”.

“I don’t know about indefinitely, but I think certainly for the next few years that will be the case.”

The company announced 1100 job cuts yesterday, which have been criticised by unions. Some jobs will include technician staff.

Riley also said this morning none of the jobs would be in the customer service division.

“I would concede that we’ve still got a long way to go to improve our customer service,” he said, according to AAP.

“We’ve got to continue to recreate and reshape Telstra so it is more efficient, so it provides better customer service and responds to what is a very dynamic and changing industry.”

Warrnambool Cheese turns on Bega takeover offer

Warrnambool Cheese & Butter (WCB) Factory has recommended its shareholders reject a takeover offer from Bega Cheese.

In a statement, the company said the offer was inadequate and uncertain. The takeover offer represented 1.2 Bega shares and $2 for each WCB share.

The offer was “highly opportunistic”, WCB claimed.

Ansell to buy Midas

Ansell will buy Korean glove manufacturing business Midas for $US41.1 million, it announced this morning.

Chief executive Magnus Nicolin said the company offered an extension of Ansell’s product range.

“This acquisition represents another step designed to drive Ansell forward, fulfilling our growth strategy of accelerating innovation, developing our manufacturing and sourcing capabilities, and building our leadership position in emerging markets,” he said.

Shares flat after weak offshore leads

The Australian sharemarket has opened weaker this morning, following soft leads from offshore markets as investors remain hesitant regarding Washington budget talks.

The benchmark S&P/ASX200 index was down 10 points or 0.2% to 5265.9 at 11.50 AEST, while in the United States the Dow Jones Industrial Average fell 61 points or 0.4% to 15,273.3.