(Bloomberg) -- One New Zealand, the phone company wholly owned by infrastructure investor Infratil, is consulting with staff about potential job losses next year.

“One NZ is going through a process of consultation with a limited number of the team that regrettably will see some people depart the business in early 2024,” Chief Executive Jason Paris said Saturday in Wellington. His comments were provided in response to questions after Stuff NZ reported the job cuts.

The company will provide as much as three months’ notice to support those affected, Paris said. The number of potential job losses wasn’t disclosed.   

New Zealand companies are facing declining demand from consumers as high interest rates damp spending. One NZ, formerly a unit of Vodafone Plc, is the nation’s second-biggest mobile operator after Spark New Zealand. The company is reviewing its business structure to ensure it is still investing in growth areas while keeping control of costs.

One NZ has recently added roles reflecting the growth in importance of artificial intelligence but “we also need to make tough decisions to stop or reduce our investments in other areas at times,” Paris said. 

“We are in a competitive market and the economy is challenging,” he said. “We operate in the fast-moving technology and telecommunications space that means changing our structure to ensure we’re best positioned for the future. The proposed changes are about ensuring we continue to invest even more in these important areas, as well keep our prices competitive.”

 

©2023 Bloomberg L.P.