NOKIA LAYOFF JOB CUT: Nokia to fire 3000, shut Finland plants, cut production

Nokia Layoff News - Nokia job cut announcement 2009

Cellphone maker Nokia has announced that it will layoff nearly 3000 jobs as demand for mobile phone handsets reduced sharply due to the current global economic slowdown. The specific layoff announcement by Nokia says that it will cut production at its key Salo plant in Finland. The following quoted from Reuters:

At the Salo plant, a cornerstone of Nokia's rise to become the world's top mobile phone maker in 1998, it will temporarily lay off the whole staff of 2,500 on a rotational basis, with between 20 percent and 30 percent of staff idle at a time.

Nokia also said it would close a research site in the Finnish town of Jyvaskyla which will result further 320 job layoffs. In addition to this Nokia will also hand over layoff letters to 90 other staff elsewhere (exact details of this 90 job redundancies not known).

Reasons for Nokia Layoffs Job Cut

Nomura has forecast that the smartphone market will see a flat growth in 2009. The job layoff announcement by Nokia is part of it cost cutting exercise and efforts to save nearly 700 million euros (or $800 million) in costs as demand for Nokia products is decreasing.

Read more about Nokia Layoffs on Reuters or Globeandmail.com