Telus Cuts 2,800 Canadian Jobs While AI Division Adds 6,100

Telus Shifts Workforce as AI Division Expands

Vancouver-based Telus Corp. cut 2,800 jobs in Canada in 2025, even as its overall head count grew by nearly 5,000 employees, according to the company's annual report. The telecommunications company ended the year with 111,500 employees, up from 106,800 at the end of 2024—a 4.5 per cent increase.

AI-Focused Division Drives Growth

The contrasting trends reflect a significant shift within Telus. Its technology outsourcing division, Telus Digital, which provides artificial intelligence and data capabilities for Telus and external clients, gained 6,100 employees last year. As of the end of 2025, 85,100 employees worked for Telus Digital. The remaining 26,400 employees work in other business lines, including telecom services and Telus Health, and that group lost 1,400 employees.

Telus spokesperson Steve Beisswanger attributed the growth in Telus Digital to global demand for AI-powered customer services. He also said the company is transitioning responsibilities for its Telus Digital business to Canadian leadership and deploying new technology to drive international revenue growth, supported by targeted expansion in key markets.

Canadian Workforce Shrinks

The overall number of Telus employees in Canada fell by 2,800 to 25,200 in 2025. The proportion of Canadian workers to international workers has declined in recent years as the company has focused on expanding its reach internationally. Canadian workers made up 22 per cent of its overall work force in 2025, down from 35 per cent five years ago and 56 per cent a decade ago.

Cost Savings and Consolidation

Beisswanger said the company expects the reintegration of Telus Digital to deliver between $150-million and $200-million in annual cash savings, without providing a timeline. Telus spun out its digital operations through an initial public offering in 2021 and reacquired the business in October. He also noted that the company is streamlining select European operations as part of a broader consolidation strategy, citing the economics of the sector, including a decline in cellphone pricing in Canada.

Voluntary Buyouts Continue

This year, Telus continued ongoing voluntary buyout efforts, offering severance packages to about 700 employees, the same amount as in the previous year. The company said these were fuelled by rapid transformation in the telecom industry and growing customer demand for self-serve options. Those given offers include technicians that do installation and repair, as well as call-centre agents who serve business accounts, the company said in January.

Industry Context

Canada's largest phone and internet companies have been reducing their telecom-related work forces in recent years, aiming to lower expenses and reduce debt while implementing new technology they say makes them more efficient. Some of those job losses have been offset by acquisitions. Last May, Telus Health acquired Workplace Options, an employee health business based in Raleigh, N.C. Before the acquisition, Alan King, Workplace Options chief executive officer, said in a LinkedIn post that his company employed more than 1,300 people. Workplace Options' current LinkedIn page shows a similar number of employees, mainly based in the U.S. and India. This suggests that the 2025 job declines outside of Telus Digital would have been steeper without inclusion of the Workplace Options employees.

Sources

• Telus boosts head count but sheds Canadian jobs as it reduces staff in core business - The Globe and Mail