Nokia to layoff 1,800 employees
Despite reporting a five per cent rise in net sales, the Finnish phone company is set to chop 1,800 jobs globally.
Nokia's results call today was overshadowed by the announcement it would be cutting 1,800 workers as part of its "transformation" strategy.
The Finnish mobile manufacturer confirmed the job losses in a statement, saying: "Nokia has today communicated to its employees the company's plans to accelerate its transformation and increase effectiveness."
"The plans include simplifying operations in product creation in Nokia's Symbian Smartphones organisation, as well as Nokia's Services organisation and certain corporate functions. The plans are expected to result in a reduction of up to 1,800 employees globally."
Nokia's executive vice president of HR, Juha krs, claimed the decision was a difficult one but necessary for the company.
"The announcement today is the result of careful evaluation and planning; the plans have now been reviewed and endorsed by the new management," he said.
"The aim is to accelerate the company's transformation towards a leading mobile solutions provider, and to do this we are simplifying and integrating operations within our product creation and corporate functions."
The job losses come a month after the company appointed a new chief executive (CEO), Stephen Elop, who had previously been head of Microsoft's business division.
Nokia reported net sales of 10.3 billion (9.2 billion) for the third quarter of this year up five per cent year on year but the company's operating profits dropped by 14 per cent from 741 million to 634 million.
Accelerating AI modernisation with data infrastructure
Generate business value from your AI initiativesFree Download
Recommendations for managing AI risks
Integrate your external AI tool findings into your broader security programsFree Download
Modernise your legacy databases in the cloud
An introduction to cloud databasesFree Download
Powering through to innovation
IT agility drive digital transformationFree Download