New Delhi: Telecom equipment maker Nokia Siemens Networks will slash 17,000 jobs as part of efforts to reduce 1 billion euro in costs by the end of 2013. Nokia Siemens Networks, a joint venture between Finnish cellphone maker Nokia and German conglomerate Siemens, has been grappling with tough business conditions.
Unveiling its strategy to focus on mobile broadband and services, Nokia Siemens Networks today said it plans to cut 17,000 jobs worldwide by 2013-end. "These planned reductions are expected to be driven by aligning the company's workforce with its new strategy as well as through a range of productivity and efficiency measures," the firm said in a statement.
The company is estimated to have a global workforce of about 74,000 people. Nokia Siemens Networks, which has a strong presence in India, employs around 15,000 people in the country. However, it was not immediately clear about the effect of job cuts in India. When contacted, an India spokesperson for the company declined to comment. "Nokia Siemens Networks targets to reduce its non-IFRS annualised operating expenses and production overheads by 1 billion euro by the end of 2013, compared to the end of 2011,"
the statement said.
The planned restructuring could include site consolidation, transfer of activities to global delivery centres and cost synergies from the integration of Motorola's wireless assets, among others. "We believe that the future of our industry is in mobile broadband and services - and we aim to be an undisputed leader in these areas," Nokia Siemens Networks CEO Rajeev Suri said. He noted that the planned reductions are regrettable but
necessary "and it is our goal to make them in a fair and responsible way, providing the support we can to employees and communities".
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