Telstra slashing 8,000 jobs to cut costs

Thousands of Telstra employees are facing job losses as the company announces an overhaul, but investors remain concerned by falling profits, sending the telco's shares to a fresh seven-year low.

Telstra will axe 8,000 jobs, sell assets and hive off its fixed network infrastructure. (AAP) Source: AAP

Telstra said it is targeting a further $1 billion in cost-cutting by the 2022 financial year, taking total cost reductions to $2.5 billion.

The telco said there would be a net reduction of 8,000 employees and contractor positions.

It said those positions would largely be drawn from management, with one-in-four executive and middle management positions to go.