SK Telecom (SKT) is set to slash its executive headcount by up to 30 percent.

The reshuffle is set to start this week, as reported by The Chosun Daily, with the first round of restructuring, including a massive reduction of executives and consolidation of organizations, expected later this week.

Sources told the publication that SKT has already received resignations from C-level executives, and it has begun notifying executives targeted for retirement.

“The atmosphere is tense as executives are being cut and teams consolidated," noted the source.

The cuts come after a severe data breach impacted the telco earlier this year. The breach has also had a direct impact on the company's financial performance.

For Q3, SKT booked a net loss of KRW167 billion ($117 million), while revenue dipped 12.2 percent to KRW3.98 trillion ($2.8bn).

The data breach in April compromised the SIM-related information of its entire mobile user base.

The cuts also extend to the Supex Pursuit Council, SK Group’s top consultative body, which is expected to reduce its workforce by up to 50 percent.

SKT recently established its AI CIC, an in-house company within the business that consolidates all of SKT's AI businesses and services. Approximately 40 percent of executives within this division had recently lost their jobs, added the report.