HELSINKI - Nokia Oyj, the world's largest mobile phone provider's capacity cuts 3,500 jobs, its second major restructuring in six months as it fights falling sales and executive profits.Chief Elop, Stephen, who took over a year ago, Nokia has announced plans that include the closure of the plant and the new chairman of the telecommunications equipment joint venture Nokia Siemens Networks, the company announced Thursday.The to close its factory in Cluj in Romania, which opened just four years ago and produced a number of simple cell phones, leading to 2200 job losses.
The plant had a turnover equivalent to 1.3 percent of GDP in Romania last year, but the Eastern European investment group, said Avaron because much of the value of the flow station was lower, giving an approximate GDP.Nokia said about 0.25 per cent to 1,300 jobs will be cut at this location and commercial business unit, which includes the world's largest digital mapping company Navteq.Nokia said it was evaluating the future of its plant in Finland, Hungary and Mexico, and it would lead to job losses next year.
Latest job cuts come on top of the cost reduction plan in April, which included laying off 4,000 employees. Thursday cut is included in Nokia's goal is to save more than one billion euros, which opened in July. "This is very shocking. As if they had no policy at all human, but redundancy is talking about rolling all the time. I do not know how people can work there, how people are able to concentrate at all," Pertti Porokari leader of the Finnish Association of Engineers (uil), told Reuters. "Certainly, the company is going through a major reform, but it seems like the new direction is not completely under control." Nokia has struggled this year, sales and profits in February, said the group would go after Microsoft Corp. software on their smart phones, but the first of these models come to market until later this year.
"We are seeing solid progress against our strategy and the proposed changes, we will rise more dynamic, efficient and agile Challenger," Elop, Nokia's first foreign chief, said the political statement.Nokia share price has halved since Microsoft announced trading on concerns the company will lose as much market share before the new phones come out, it can never do lag ground.Nokia 's quarter phone sales fell 20 percent in late June, when the market grew by 10 percent and 15-year reign ended in the top of the smartphone market from Apple , Samsung Electronics, surpassed it. "Now the volume is clearly weakened Nokia is looking for new cost-saving measure," said Swedbank analyst Jari Honko in Helsinki. "I hope that this comprehensive review is not to say that Nokia has lost so much that the extent of in-house production more competitive. This is the main strength of Nokia," said Honko.
Shares flat at € 4.18 by 1100 GMT, with sector.Separately, Digian provider Nokia said it agreed to cut 170 jobs at its operations in Finland, and can cut up to 80 more than the upgraded its business.Nokia also said that both He and Siemens AG 500000000 inject € ($ 680 million) in its 50:50 joint venture Nokia Siemens telecommunications equipment Networks.Jesper Ovesen would take over the CEO of Nokia Siemens Networks, will replace the former Nokia CEO Olli-Pekka Kallasvuo, Nokia said.Ovesen , who has worked with many top financial Danish company Lego helped turn during his spell as Group Financial Director 2003-2007 and took the toy telecoms operator TDC and the public late last year year.Siemens Nokia Nokia Siemens Networks would like to take the audience on a time, but the company has struggled to understand the profits fighting against aggressive rivals Ericsson and Huawei. separately, announced Nokia Siemens as Bharti Airtel has won an order to upgrade, build and manage a network of seven African countries. (Additional reporting and Terhi Kinnunen in Helsinki Jussi Rosendahl, Bucharest, Radu Marinas; Editing by Elaine Hardcastle and David Holmes)
