Wednesday, February 8, 2012

Nokia to Cut 4,000 Jobs

HELSINKI-Nokia Corp. said Wednesday it intends to cut about 4,000 Jobs in factories by the end of the smartphone.

Reduction in plants in Hungary, Mexico and Finland. Nokia, the world's largest mobile phone maker by shipments, he said, moving the device closer to the assembly of parts suppliers in Asia attempt to get their products to market faster.

"By more closely with our suppliers, we believe that we are able to introduce innovations to market faster and ultimately be more competitive," said Niklas Savander, vice president of Nokia, markets.

The last move as it revamp its strategy, Nokia announced that it intends to reduce the 2,300 and 4,400 jobs in Komárom, Hungary, 700 out of 1,000 jobs in Reynosa, Mexico and 1,000 to 1,700 factory jobs in Salo, Finland, as part of a long-term review of the plants, announced in September. 3 plants for them to focus on smartphone software development languages, maps, applications and software requirements of local businesses.

"It's really about the speed, sensitivity, and improve our time to market," said Nokia spokesman James Etheridge. "It is important to ensure that the software customization happen to be near our customers, certainly in Europe and Eurasia, which is focused on the brass band Komárom."

Nokia has not yet announced plans to shed about 14,000 jobs since last February, a decision against Microsoft Corp. 's Windows Phone operating system and all of its new smartphones gradual obsolescence of the Symbian platform. He believes that the move will help it regain market share after struggling to compete with Apple Inc. 's iPhone and smartphones with Google Inc.' s Android software.

Nokia had 130,000 employees at the end of 2011, including 66,000 in its loss-making Nokia Siemens Networks joint venture with Siemens AG of Germany.

Pareto analyst Helena Nordman-Knutson Öhman said the job cuts were expected and logical.

"In addition to time the market opportunities offered by Nokia, there is also a cost-effectiveness point of view, there is no chance of keeping expensive manufacturing unit of Nokia in Finland," Ms. Nordman-Knutson said that an assessment of the stock decreases. His last published estimate was overweight, with € 5.2 ($ 6.9) price target.

Nokia announced that offers a support program for affected workers, including financial support and assistance to local re-employment.

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