Telstra Corporation Ltd (ASX:TLS) is looking to outsource 1200 jobs, according to the Australian Financial Review.
The company has reportedly issued a request for proposals for back-office roles, primarily related to finance and accounting.
It’s understood that US players including IBM are vying with Indian rivals such as Infosys.
It is almost certain that all bidders would shift the jobs offshore to low cost destinations such as India, Vietnam and Malaysia, according to Fairfax Media.
The telco is aiming to strip costs, increase productivity and improve customer service – known as Project New, with a budget of $400 million.
In its first half of the 2011 financial year, Telstra’s profit slipped to $1.2 billion.
