TELCO giant Telstra has announced it will be cutting nearly a quarter of its workforce in a massive company overhaul, with an aim to "eliminate customer pain points".
The company says it will abolish one in four executive and middle management roles to flatten its structure.
Watch the full story above. The company's shares have lost more than half of their market value over the past three years.
"I am acutely conscious the impact the loss of jobs has on our people and society", Mr Penn said in a presentation he will give at a strategy briefing on Wednesday.
The strategy doesn't specifically answer the question of where Telstra's growth might come from but, if it can execute effectively, it could create a better and more effective business and a platform for growth in an exciting 5G environment whose boundaries are yet to be defined.
"We have to do this.as an industry we're at a tipping point", he said.
Among the plans is a the creation of "InfraCo" a "wholly owned infrastructure business unit" Telstra says will "drive performance and provide future optionality for a demerger or the entry of a strategic investor in a post-NBN rollout world".
Telstra has a range of businesses including fixed broadband, mobile, data and IP, network application and services, digital media and global.
The standalone infrastructure business will be called "Telstra InfraCo" comprising Telstra's fixed network infrastructure including data centres, non-mobiles related domestic fibre, copper, HFC, global subsea cables, exchanges, poles, ducts and pipes. It will include fixed networks, data centres, non-mobile fibre, the HFC network, worldwide sub-sea cables, exchanges, ducts, pipes, NBN-related revenues and relationships and Telstra Wholesale.
"There is virtually no technological innovation happening today that does not rely on a high-quality, reliable, safe and secure telecommunications network". As a result, the telco expects FY19 EBITDA guidance to range between $8.7 - $9.4 billion, excluding about $600 million in restructuring costs.
Gaza militants fire barrage of rockets at Israel overnight
It also said around 100 rockets and mortars fired from Gaza either exploded in Israel or were intercepted by air defences. The territory has been controlled by Hamas for more than a decade, during which it has fought three wars with Israel.
Taliban vows to resume fighting in Afghanistan
Alleged Taliban militants pose for a photograph with Afghan Police as a goodwill gesture amid the three-day ceasefire. President Ashraf Ghani has called on the rebel group to extend the truce after its expiration at midnight Sunday.