Nokia to cut 10,000 jobs, sells Vertu
14 Jun 2012 11:29 PM GMT
Finnish mobile handset major Nokia on Thursday said it will cut up to 10,000 jobs globally by the end of 2013 and shut down some facilities.
‘Nokia plans to reduce up to 10,000 positions globally by the end of 2013. Nokia is beginning the process of engaging with employee representatives in accordance with country – specific legal requirements,’ it said in a statement.
As of 31 March 2012, Nokia employed 1,22,148 people. Of these, 68,595 were employed by Nokia Siemens Networks.
Nokia said it is balancing its investment priorities and plans to rescale the company by making additional reductions in devices and services.
Under these planned measures, it will reduce certain research and development projects which will result in closure of its facilities in Ulm, Germany and Burnaby, Canada.
It will further consolidate manufacturing operations and close a facility in Salo, Finland. However, R&D development in Salo will continue.
In line with this, Nokia announced plans to divest its luxury mobile phones business, Vertu, to an European private equity firm EQT VI for an undisclosed amount.
The move is a part of Nokia's strategy to dispose of its non-core assets.
The company said it will invest strongly in products and experiences that make Lumia smartphones stand out and in location-based services as an area of competitive differentiation.
‘Nokia plans to reduce up to 10,000 positions globally by the end of 2013. Nokia is beginning the process of engaging with employee representatives in accordance with country – specific legal requirements,’ it said in a statement.
As of 31 March 2012, Nokia employed 1,22,148 people. Of these, 68,595 were employed by Nokia Siemens Networks.
Nokia said it is balancing its investment priorities and plans to rescale the company by making additional reductions in devices and services.
Under these planned measures, it will reduce certain research and development projects which will result in closure of its facilities in Ulm, Germany and Burnaby, Canada.
It will further consolidate manufacturing operations and close a facility in Salo, Finland. However, R&D development in Salo will continue.
In line with this, Nokia announced plans to divest its luxury mobile phones business, Vertu, to an European private equity firm EQT VI for an undisclosed amount.
The move is a part of Nokia's strategy to dispose of its non-core assets.
The company said it will invest strongly in products and experiences that make Lumia smartphones stand out and in location-based services as an area of competitive differentiation.
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