Internal restructuring
Location of affected unit(s)
Information / Communication
Information Communication Services
61 - Telecommunications

200 jobs
Number of planned job losses
Job loss
Announcement Date
12 February 2010
Employment effect (start)
Foreseen end date
31 December 2010


Hungarian telecomunications company Pannon anncounced plans to cut 200 jobs in 2010 as part of a cost-reduction programme. Hungary's second-largest moblie phone operator, part of the Norwegian group Telenor, is looking to make €7.1 million in payroll savings and reduce overall costs by €11.2 million. 50 contractors are also to lose their jobs.

An austerity drive by Telenor, poor performance from Pannon in 2009 (a 9.6% drop in annual revenue) and the weakness of the Hungarian Florint have all been cited as reasons for the cuts. Panon's CEO Anders Jensen said:

"The decision to reduce costs, maximise productivity and refocus investment on Mobile Broadband services will increase our ability to satisfy customers and achieve high, sustainable growth".

"We recognise that this is a tough decision and we will take careful steps to ensure a direct, inclusive and open consultation process with all our employees. Those impacted will receive severance packages that recognise their contribution to Pannon. We will also provide adequate support for individuals seeking alternative employment through the provision of out-placement services."


  • 12 February 2010: Pannon press release
  • 16 February 2010: IHS Global Insight


Eurofound (2010), Pannon, Internal restructuring in Hungary, factsheet number 70325, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/70325.