Orange and T-Mobile Merger Approved, Cut of 20,000 Jobs

orangeThe proposed merger of Orange and T-Mobile in the UK has been approved to create Britain’s biggest mobile phone operator, but number of jobs are at risk.

Around two thousand jobs are at risk because the companies are likely to cut £3.5 billion in expenses from their merged business.

British consumer groups reacted furiously to the European Commission's decision to approve the merger.

Office staff is supposed to handle the burden of the job losses. Company’s staff may be less brutal than feared, with both the Orange and T-Mobile brands being maintained for at least 18 months.

The European Commission yesterday granted the two companies’ plan to join after the Office of Fair Trading took out its request to perform an in-depth examination of the deal.

The joint company will have market share of around 37% which have nearly 30 million users, and will beat O2 into second place in the UK and Vodafone into third.