Macquarie Telecom, the hosting and telecommunications provider, denies retrenching 40 employees in customer support areas. The claims of staff cuts came as the Sydney-based company launched its MacquarieHUB contact center.

News reports claim that 40 employees, who worked in customer staff areas, were told that they would be laid off two days before the contact center's opening. The staff members, who worked in project management, sales management, provisioning and account management, were said to have been redundancy packages at the minimum legal requirement.

The company says that such claims are "factually incorrect." Over the last year, Macquarie offered redundancy packages to only six of its employees and they were not connected to the new call centre. The company adds that it remains committed to increasing its employees by five per cent over the next year.

Macquarie Telecom plans to position the new call centre as a way to provide better customer services rather than offshore options in the Philippines or India.