Embattled New Zealand based telecommunications company Telecom has announced it will be shedding up to as many as 1,250 full time jobs in a bid to stem the companies losses.

The company announced it will seek to ‘reduce significantly’ corporate centre functions in management, HR,  finance and legal areas of the company, while it tighten the management and operational staff levels in all areas of the business.

The company announced it expects to incur costs of between $70 and $80 million as it sheds the jobs, while it expects to reduce related payroll costs by as much as $110 million.

Telecom’s Chief, Simon Moutter, said that the move was an important step in creating a leaner, more competitive organisation.