Nokia to cut 450 jobs worldwide: company

Nokia, the world's leading mobile phone maker, said Tuesday it planned to cut some 450 jobs globally
The Nokia logo is seen at the Nokia Capital Markets Day in New York. Nokia, the world's leading mobile phone maker, said Tuesday it planned to cut some 450 jobs globally as it reorganises its services unit.

Nokia, the world's leading mobile phone maker, said Tuesday it planned to cut some 450 jobs globally as it reorganises its services unit.

In addition, Nokia plans to streamline its corporate development office, including internal information technology (IT) and industry collaboration activities.

"Altogether, approximately 450 employees globally will be impacted by the plans announced today, of which a maximum of 100 in Finland, the company said in a statement.

It added it would continue to seek savings across the company, which had 124,000 employees at the end of March, or 64,000 excluding its Nokia Siemens Networks .

The job cuts "will impact mainly employees in Europe and North America, but it is too early to be more precise," Nokia's spokeswoman Eija-Riitta Huovinen told AFP.

Nokia's services unit develops Internet based services to mobile phone users, including map services and games. The unit currently employs some 3,200 people.

The head of Nokia services, Niklas Savander, said Nokia would increasingly offer to its customers new services developed by its partners and other companies.

Prior to Tuesday's announcement, Nokia had announced more than 3,000 job cuts since January as part of a vast cost-cutting plan, including 1,000 voluntary departure packages.

The Finnish firm launched the programme last January, aimed at creating more than 700 million euros (910 million dollars) in annual savings.

Earlier this month reported a 90-percent drop in its first-quarter to 122 million euros. Its earnings were dented by fewer consumers buying cheaper mobile phones amid global financial crisis.

Nokia's chief executive Olli-Pekka Kallasvuo said at the time that "it is too early to say that end-consumer demand has hit the bottom" although there were some signs of improving market conditions.

(c) 2009 AFP


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Citation: Nokia to cut 450 jobs worldwide: company (2009, April 28) retrieved 19 October 2021 from https://phys.org/news/2009-04-nokia-jobs-worldwide-company.html
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