The Toshiba layoffs are part of the company’s efforts to streamline its business following poor financial results and an investigation into the company. The job cuts represent roughly 5% of its workforce and will occur in its consumer electronics division, reports Reuters.
The Toshiba layoffs will have the company focusing more on its semiconductor and nuclear reactors business. However, it still faces tough competition in the semiconductor market. It could also see trouble with its nuclear reactor business due to a shift away from the technology following the 2011 Fukushima incident, Reuters notes.
“It’s very regrettable to implement a plan that includes layoffs of staff, but I believe this plan is very much needed for us at this time,” Toshiba CEO Masashi Muromachi, told Citizen TV about the new Toshiba layoffs.
TOSYY shares were down 9% as of Monday afternoon.
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