Nokia to lay off 170 workers worldwide

May 19, 2009

(AP) -- Nokia Corp. said Tuesday it will lay off 170 workers worldwide to further cut costs as the global downturn continues to weaken demand in the mobile phone industry.

The job cuts, in production and logistics for mobile devices, will not affect production at Nokia's mobile device manufacturing facilities, the world's biggest handset maker said.

Nokia said it will also offer buyouts to 320 employees at its manufacturing plant in Salo plant in Finland after a similar program for 1,000 global Nokia employees proved popular.

"The earlier voluntary resignation package ... raised a lot of interest among production employees, who were excluded from this particular global program," said Ville Valtonen, from Nokia's personnel department in Finland. "We now want to offer this opportunity to our production employees in Salo, as we continue to adjust capacity according to market demand."

Nokia stock closed up 4.3 percent at euro11.19 ($15.23) on the Helsinki .

Earlier this year, Nokia announced more than 2,400 job cuts globally and temporary layoffs of 2,500 workers in Finland.

The company aims to slash costs at its handset unit by euro700 million ($920 million) annually, and on Tuesday said it will continue "to seek savings in operational expenses, looking at all areas and activities across the company."

In April, Nokia reported that first-quarter net profit plummeted 90 percent to euro576 million and sales fell 27 percent as the world continued to hit the mobile industry.

Nokia employs 124,000 people worldwide. Last year, it sold 468 million handsets, up 7 percent on 2007.

----

On the Net:

: http://www.nokia.com

©2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Explore further: IBM posts lower 1Q earnings amid hardware slump

add to favorites email to friend print save as pdf

Related Stories

Nokia to lay off 1,700 worldwide

Mar 17, 2009

(AP) -- Nokia Corp. said Tuesday it will lay off 1,700 people worldwide to cut costs, as the global economic downturn strikes deeper into the mobile phone sector.

Nokia profit plunges 90 percent in Q1

Apr 16, 2009

(AP) -- Nokia Corp. on Thursday said profits plummeted 90 percent in the first quarter because of fading demand for mobile phones amid the worldwide downturn - but its shares surged as analysts had expected ...

Nokia Opens New R&D Center in China

Aug 29, 2005

Nokia has established a Research and Development center for mobile infrastructure in Chengdu, the capital city of the Sichuan province in Western China. The R&D centre will develop mobile applications based ...

Nokia Lifeblog Software

Dec 23, 2004

Nokia today announced that Nokia Lifeblog 1.5 is now available at http://www.nokia.com/lifeblog . Nokia Lifeblog is a mobile phone and PC application that keeps an organized multimedia diary of the items collected with your ...

Recommended for you

IBM posts lower 1Q earnings amid hardware slump

7 hours ago

IBM's first-quarter earnings fell and revenue came in below Wall Street's expectations amid an ongoing decline in its hardware business, one that was exasperated by weaker demand in China and emerging markets.

New US-Spanish firm says targets rich mobile ad market

14 hours ago

Spanish telecoms firm Telefonica and US investment giant Blackstone launched a mobile telephone advertising venture on Wednesday, challenging internet giants such as Google and Facebook in a multi-billion-dollar ...

Technip, Heerema win third giant Angolan oil contract

17 hours ago

The ultra-deep Angolan offshore oil project called Kaombo generated the third huge contract in three days on Wednesday when French group Total picked two firms to carry out underwater engineering worth $3.5 billion.

User comments : 0

More news stories

Simplicity is key to co-operative robots

A way of making hundreds—or even thousands—of tiny robots cluster to carry out tasks without using any memory or processing power has been developed by engineers at the University of Sheffield, UK.

Microsoft CEO is driving data-culture mindset

(Phys.org) —Microsoft's future strategy: is all about leveraging data, from different sources, coming together using one cohesive Microsoft architecture. Microsoft CEO Satya Nadella on Tuesday, both in ...

Floating nuclear plants could ride out tsunamis

When an earthquake and tsunami struck the Fukushima Daiichi nuclear plant complex in 2011, neither the quake nor the inundation caused the ensuing contamination. Rather, it was the aftereffects—specifically, ...

Patent talk: Google sharpens contact lens vision

(Phys.org) —A report from Patent Bolt brings us one step closer to what Google may have in mind in developing smart contact lenses. According to the discussion Google is interested in the concept of contact ...