France Telecom CEO Didier Lombard (pictured) is to step down from the role at the beginning of next month, more than a year earlier than originally planned. In a statement, Orange-owner France Telecom said that Lombard has decided to submit to the Board of Directors on 24 February a proposal to separate the functions of chairman and CEO from 1 March 2010. The move will allow his long-term replacement – Stephane Richard – to become CEO and take management responsibility for the group’s operations, while Lombard would remain as chairman. According to a Financial Times report, Richard has already signaled some possible shifts in the group’s strategy, including ruling out large scale M&As. France Telecom’s aborted merger with TeliaSonera in 2008 was thought to have damaged Lombard’s reputation with investors.

Lombard’s decision to step down early – he was originally scheduled to leave in May 2011 – also appears to be linked to the spate of suicides by employees at the French firm last year. Lombard was criticised for his slow response to the problem, and faced calls for his resignation for alleged management practices that unions said pushed some vulnerable staff members to the edge. Lombard received a vote of confidence from French President Nicolas Sarkozy and was able to remain in his position. However, deputy chief executive Louis-Pierre Wenes resigned over the issue last October and was replaced by Richard.