Nokia plans to cut up 10,000 jobs to focus on R&D

On 16 March 2021 the Finnish telecom company Nokia announced it will likely cut about 300 jobs in Finland, mainly at its headquarters, as part of a wider restructuring plan, a Finnish union representative says.

Nokia also added the plans will cut up to 10,000 jobs within two years to trim costs and invest more in research capabilities, to better compete with Sweden’s Ericsson and China’s Huawei.

Workers Union shop steward Lasse Laurikainen said the employees were expecting layoffs, but they think the restructuring program is the right move for Nokia.

“From the point of view of the employees, I think cutting costs and having the opportunity to invest in our strengths and develop them is a step to the right direction,”

The job cuts are part of a wider restructuring plan where Nokia aims to achieve 600 million euros in cost savings by end of 2023. At the same time, the company expects to spend 600-700 million euros in restructuring charges.

According from a Nokia spokesperson said in an email to Reuters that the company has just informed works councils and expect local consultation processes, where applicable, to start shortly.
“Timelines will become clearer once the consultation period finishes,”

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