Struggling Nokia to Fire or Transfer 1,000 Employees

by Christopher Freeburn | January 17, 2013 10:54 am

Struggling Nokia to Fire or Transfer 1,000 Employees

nokia storefront 630 300x200 Struggling Nokia to Fire or Transfer 1,000 Employees[1]Struggling handset-maker Nokia (NYSE:NOK[2]) announced on Thursday that it will eliminate about 300 jobs[3] and shift 820 other jobs to overseas suppliers.

Most of the lost jobs will from its Finland operations. The remainer will be transferred from the company’s payroll to its India-based outsourcing partners, The Wall Street Journal noted.

Once the leading maker of cell phones, Nokia has seen its market share crash in recent years as it encountered competition from Apple‘s (NASDAQ:AAPL[4]) iPhone and smartphones running Google‘s (NASDAQ:GOOG[5]) Android operating system.

In a bid to reclaim lost market share, Nokia has partnered with Microsoft (NASDAQ:MSFT[6]) to produce smartphones running Windows 8. It’s new Lumia flagship phone has proven a modest success[7].

Nokia has also engaged in significant cost-cutting to firm up its financial position. Last year, it announced that it would trim its payroll by 10,000 jobs[8].

The company also sold its ultra-modern Finnish headquarters[9], and then leased its office space back from the new owner.

Shares of Nokia slipped fractionally in Thursday morning trading.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2012/04/nokia-storefront-630.jpg
  2. NOK: http://studio-5.financialcontent.com/investplace/quote?Symbol=NOK
  3. that it will eliminate about 300 jobs: http://online.wsj.com/article/SB10001424127887323468604578247101409816098.html
  4. AAPL: http://studio-5.financialcontent.com/investplace/quote?Symbol=AAPL
  5. GOOG: http://studio-5.financialcontent.com/investplace/quote?Symbol=GOOG
  6. MSFT: http://studio-5.financialcontent.com/investplace/quote?Symbol=MSFT
  7. has proven a modest success: http://investorplace.com/2013/01/lumia-lights-up-nokia-stock/
  8. announced that it would trim its payroll by 10,000 jobs: http://investorplace.com/2012/06/nokia-to-slash-10000-jobs-by-2013-shares-plunge/
  9. sold its ultra-modern Finnish headquarters: http://investorplace.com/2012/12/nokia-sells-headquarters-to-raise-cash/

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