OneCo is downsizing its telecoms business
OneCo Networks, part of the OneCo Group, has notified its employees of the need for downsizing as a result of the decline in the telecoms market in Norway.
Just like many other players in the industry, OneCo is facing tough market conditions with strong competition and pressure on both prices and margins. A general decline in investments and development of the telecoms network in Norway, and expectations of further market decline in the future, mean that the company must take action to ensure future competitiveness.
OneCo Networks has today informed its employees that the company is entering a downsizing phase.
- This is a situation we would have preferred to avoid. We had hoped that the changes we made at the beginning of 2024 would be sufficient, but a continued declining market and changes in framework conditions mean that we have to make further adjustments to remain competitive and secure further jobs," says Petter Schive, head of OneCo Networks.
Close co-operation with employee representatives
The company is already in close and open dialogue with employee representatives to ensure that the process is carried out in a good and responsible manner.
- I know that the next few weeks will be demanding for many, and that the uncertainty will affect loyal and good colleagues. We are doing our best to find alternatives to redundancies, such as natural attrition and alternatives elsewhere in the OneCo Group, but these measures will only cover a small part of the reduction. Exactly how many redundancies there will be, however, we will not know until we are further along in the process," says Schive.
This summer, the company signed a new agreement with Telenor for the development, operation and maintenance of national infrastructure within mobile and fixed networks.
- "Although the agreement with Telenor secures much of our activity, the general downturn in the market is having a significant impact on our revenue. The market situation requires us to adapt our capacity, thereby ensuring a competitive OneCo also in the longer term," says Schive.
New opportunities
Going forward, OneCo will also work actively to further develop its telecoms business.
- We have shown in the past that we can turn challenges into opportunities, and we will do so again. This is based on the strengths we already have as a serious, experienced and competent player that takes major issues such as HSE, safety and sustainability seriously. Even though the market is challenging, we will work to find new opportunities where our expertise and experience can create value for our customers," says Schive.
New organisation from the turn of the year
OneCo wants to limit the time of uncertainty. Mapping work and dimensioning of the new organisation will take place over the next few weeks, before preliminary redundant employees are invited to discussion meetings in mid-November. All necessary changes are expected to be completed before the end of the year. The aim is to implement the changes without affecting customers.
For more information, contact:
Petter Schive, CEO of OneCo Networks: [email protected].
Stian Thorsrud, Director of Communications at OneCo: [email protected] .
