NOKIA on Tuesday announced it will seek to improve the profitability of its operations by cutting approximately 350 jobs in Finland in 2019.
The Finnish network equipment manufacturer revealed that the redundancies will be carried out at all of its units in the country, with the exception of its manufacturing facility in Oulu, North Ostrobothnia.
The consultative negotiations with employee representatives will begin on Tuesday, 22 January.
Nokia said in a press release the belt-tightening measures are part of a global strategy to consolidate its long-term competitiveness by generating cost reductions of 700 million euros by 2020. The measures, however, are unrelated to the fact that the adoption of fifth-generation (5G) mobile technologies has progressed slower than anticipated, according to Helsingin Sanomat.
“Continuing monitoring of costs is crucial in our industry and the planned adjustment measures are needed to secure the long-term competitiveness of Nokia,” commented Tommi Uitto, the country director for Finland at Nokia.
“These kind of decisions are never easy and we will do our best to support our staff during the transformation process,” he added.
Nokia employs roughly 100,000 people around the world, including 6,000 people at its three offices in Finland.
Aleksi Teivainen – HT