Skipti, the parent company of Siminn Iceland Telecom, is about to announce a major economic restructuring which will include laying off around 40 staff members.
According to RUV sources the restructuring will be announced later today and the affected workers have already been informed of their redundancies.
It was recently announced that Skipti posted a ISK 2 billion (EUR 12.5 million) loss in the first half of the year.
The staff members affected by the redundancies were warned this morning and a general staff meeting is scheduled at the company later this afternoon, during which the full extent of the changes will announced.
No formal information has yet been released by the company; but a spokesman said that all details will be made public following the staff meeting.
Siminn is the former state-owned telecoms monopoly in Iceland and remains the biggest communications provider, ahead of companies like Vodafone, Tal, Nova and Alterna.