1,100 Jobs Outsourced or Axed at Nokia
The axe has swung again at Nokia.
The Finnish handset maker said on Thursday that it would cut 300 jobs and transfer hundreds more to other firms. All told, 1,100 jobs, mostly in IT services, will be removed from Nokia’s payroll, with about 820 added to those of its operating partners, India’s HCL Technologies and Tata Consultancy Services. Nokia describes the cuts as an “IT realignment.”
The moves — which ironically follow the preannouncement last week of better-than-expected fourth-quarter results — are part of a massive cost savings plan Nokia announced last summer. At the time, the company said it intended to eliminate 10,000 jobs in its mobile division by the end of this year. Today’s cuts are said to be the last from that plan, which was implemented to “rescale” Nokia’s operation as it scrambles to reverse its fast-declining fortunes.