So, BT has announced pay cuts, head count reductions, and more upheaval.
This is all brought about by what is almost certainly incompetence and perhaps fraud (because too many people got large bonuses that they did not earn) in the Global Services division, where massive contracts were signed up without any capability to deliver on the promises built into the contracts. BT-GS continues to bleed cash, and is on the hook to deliver on NPfIT, which it is failing to do. Unless BT cuts GS off and sells it, or closes down the loss making contracts, and takes the loss of the face that goes with it, BT will sink and the UK will lose one it's better technology companies. Time for Mandelson to step in I think.
These predictions were made last year and are sadly so far proving to be correct. Just read the rest of this blog for details.
Mr Livingston, the CEO has been given a hospital-pass.