Jumat, 15 Juni 2012
Nokia Subtract 10 000 workers in 2013
Reduction plan is a difficult decision, we believe we must take, to ensure long-term competitive strength of Nokia, Nokia CEO Stephen Elop said in a statement.
Following the news, Nokia, which recently lost rank as the number one manufacturer of mobile phones which they maintained for 14 years, stock prices declined by 6.0 percent on the Helsinki stock exchange, which fell nearly 1.0 percent.
The company, which held a large-scale reconstruction for over a year, said that they would make cost savings of 1.6 billion euros ($ 18.9 trillion) at the end of 2013.
To support this transition period, Nokia intends to improve the operating model to reduce operational costs significantly Devices and Services, by reducing the number of employees, as well as factories cut back on spending, the company said.
Such changes will lead to the closure of the Nokia facility in Ulm, Germany, Burnaby, Canada, and its manufacturing plant in Salo, Finland, although the research and development operations in Salo will continue.
Nokia also said it will streamline IT, and corporate support functions and will also release the assets of their non-core.
"As the impact of plan changes announced today, Nokia plans to cut up to 10,000 positions globally by the end of 2013, the company said, adding that they began to have discussions with trade unions and representative bodies of other employees.
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