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Thomson Reuters to axe multiple IT roles

Thomson Reuters is to make 2,000 redundancies worldwide, many of them in its IT function

Business information and media organisation Thomson Reuters is to cut 2,000 jobs – including an unspecified number of IT roles – as it attempts to galvanise an ongoing transformation plan by further “simplifying and streamlining” its business.

The redundancies, announced in the course of the business’s third quarter results call, will largely affect its financial and risk operations. However, Computer Weekly understands that a good number of the cuts will be to IT roles in its enterprise, technology and operations group. This department was only set up in January 2016.

The firm did not say in which of its operational markets the cuts will be made.

Thomson Reuters will record a charge of between $200m and $250m as a result of the cuts, which will be booked during the fourth quarter of its financial year.

In an interview with subsidiary Reuters News, chief executive Jim Smith said the move was about “taking out layers” that made the business more complex and slowed it down.

“These actions are not driven by any reaction to market conditions or in any way coming on the back of underperformance,” he added.

The company reported slightly lower year-on-year net profits, while its revenues ticked up by 1% to $2.7bn.

The redundancies at Thomson Reuters come barely a month after it announced the launch of a technology innovation centre in Toronto that will create up to 400 tech jobs in Canada over a two-year period.

The organisation plans to use the new facility to colocate internal technology talent to “drive productivity, increase flexibility and encourage cross-enterprise innovation”. It will focus on initiatives relating to cognitive computing, visualisation, user experience and cloud development.

It also plans to relocate both Smith and its chief financial officer, alongside a number of managerial roles, to Toronto from its operational headquarters in New York. Thomson Reuters’ predecessor, the Thompson Corporation, was established in Toronto in the 1930s.

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