SLO: Iskratel by the end of 2013 to fire 120 employees

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Challenging market conditions in the telecommunications industry, made Iskratel to require further reorganization and rationalization. The group, which employs 700 in Kranj and 250 people abroad by the end of the year will  decrease by 120 the number of employees. Other employees will face the significant decline in income as  revenues continue to depress wages.

“Today in this market conditions it is success in the telecommunications industry to survive and the goal is to prepare business plans to optimize the operations, and then to grow in the future,” commented CEO Željko Puljić, added that this summer he undertook reorganization of the company.

Iskratel have created two business units,  the first integrated products and solutions for telecom operators, and in  other are the corporate networks for business users.

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Some of the laid-off workers Iskratel already underway notice periods.

“The situation is now such that we can no longer put off by cutting costs and optimizing. This will be added to the action for growth, because will not be able to survive if there will be no long-term business” in a recent interview said Puljić.

Last year the Iskratel created 91 million of revenue but this year revenue has fallen sharply and is expected to be by the  end the year at around 85 million euros. As the largest reasons for the problem Puljić is stating the crisis, Chinese competition is fierce, low prices, a strong reduction in investment cycles of operators.

Iskratel after leaving Siemens in their ownership so far managed to keep the world's major manufacturers of telecommunications equipment, while many small and medium-sized enterprises are out of the market.

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