STOCK MARKET BSE NSE

Nokia to Cut Thousands of Jobs Following Alcatel Deal

Nokia is planning to cut thousands of jobs globally, including 1,400 in Germany and 1,300 in its native Finland.

Published: 06th April 2016 05:43 PM  |   Last Updated: 06th April 2016 05:43 PM   |  A+A-

HELSINKI/PARIS: Telecom network equipment maker Nokia is planning to cut thousands of jobs globally, including 1,400 in Germany and 1,300 in its native Finland, as part of a cost-cutting programme following the acquisition of Alcatel-Lucent earlier this year.

In France, Nokia said on Wednesday it will cut only 400 jobs, but will also create 500 posts in research and development, in line with a promise to the French government last year when it was negotiating the Alcatel deal.

"The pledges made by Nokia when it bought Alcatel-Lucent have been kept," said Frédéric Aussedat, a representative of the CFE-CGC union in France.

Nokia declined to give a total figure for global job cuts. The company employs about 6,850 people in Finland, 4,800 in Germany, 4,200 in France and around 104,000 around the world.

"This (1,300) is a terrible figure, we have rather difficult employment situation in the sector to begin with," Pertti Porokari, chairman of the Union of Professional Engineers in Finland, said. "Seems that Finnish workers have lost this match (against the French)."

Nokia took control of Franco-American Alcatel-Lucent in January following its 15.6 billion euro ($17.7 billion) all-share offer, intended to help it compete with Sweden's Ericsson and China's Huawei in a market where limited growth and tough competition are pressuring prices.

Nokia is seeking 900 million euros billion) of operating cost synergies from the Alcatel deal by 2018.

Stay up to date on all the latest Business news with The New Indian Express App. Download now

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp