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Nokia plans further cuts in operations

Posted: 06 Nov 2008 ?? ?Print Version ?Bookmark and Share

Keywords:Nokia restructure? lay off? R&D workforce?

Nokia has detailed plans for further changes in some parts of its organization including in sales and marketing activities in the Markets unit. The changes aim to strengthen the customer interface, ensure that resources are well allocated to meet the business needs and de-layer the organization. Nokia estimates that approximately 450 employees, maximum 100 in Finland, in the Markets unit will be affected by the planned changes.

At the same time Nokia Research Center (NRC), which is specialized in long-term research activities within the company, plans to sharpen its focus on fewer but stronger research areas. The planned reorganization is estimated to have an impact on approximately 130 NRC employees globally, of which a maximum of 100 are in Finland.

In addition, Nokia plans to close its Turku site in Finland and relocate those activities predominantly to Salo (Finland). Nokia currently has 220 employees working in the Turku office and transfer would have the employees continue in the site at Salo or in the capital area in Finland.

The company also plans some smaller workforce adjustments in global process operations. These adjustments are estimated to affect approximately 35 employees, of which almost all are in Finland.

"Today's changes are part of Nokia's constant renewal where it is important to be close to our customers and ensure that our people are able to focus on the key business priorities. Also, our aim is to find alternative work within Nokia for as many employees as possible," said Juha Akras, senior VP, human resources, Nokia.

Nokia has started local employee consultations where required to discuss these plans. According to the plans, the changes in the Markets unit, NRC and in other Nokia functions will come into effect on Jan. 1, 2009. The closing of the Turku site is estimated to be completed by the end of January 2009.

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