Approximately 120 employees of Telefónica España, Telefónica Móviles, and Telefónica Soluciones will be eligible to relocate to the Balearic Islands as part of the company's workforce reduction plan (ERE). The ERE will affect seven companies within the group, and according to company estimates, around 5,500 people will be laid off. It will also have a cost of approximately €2.5 billion (before taxes), as reported by the Spanish National Securities Market Commission (CNMV). "The present value of the expenditure for the workforce reduction plans across all affected companies is estimated at a total provision of €2.5 billion, before taxes," the CNMV explained.