Nokia Siemens slashes nearly 6,000 jobs
Between seven and nine per cent of Nokia Siemens Networks' global workforce will lose their jobs in order to reduce costs.
Nokia Siemens Networks plans to cut as many 5,760 jobs in an effort to reduce costs and "return to growth."
A statement on the company's website confirmed that it was looking to cut operating expenses and production overheads by 500 million (449 million) by the end of 2011.
This will include between seven and nine per cent of its 64,000 strong global workforce losing their jobs.
Ben Roome, head of media relations at Nokia Siemens Networks told IT PRO: "The industry has changed... and we have been restructuring since we formed."
"Unfortunately in the third quarter we knew we would have to look at our cost base [and] need to change to reflect our revenues," he added.
The main focus of the company's statement is a change to its business model, aligning its previous five business units into three as of January 2010.
It also said that the company was looking to "further strengthen its business through partnerships and acquisitions."
Nokia recently wrote off 908 million in an "impairment of goodwill" for Nokia Siemens Networks after poor results in its third quarter.
Nokia's chief executive, Olli-Pekka Kallasvuo, said in a statement: "The challenging competitive factors and market conditions in the infrastructure and related services business necessitated non-cash impairment charges at Nokia Siemens Networks."
"We continue to support Nokia Siemens Networks actions to improve its performance," he added.
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