Finnish communication giant Nokia said that it plans to slash about 1,300 jobs in Finland by 2018. Nokia said in a press release on Wednesday that it is set to start collective negotiations. The company employs about 6,700 workers in Finland by the end of 2015. According to the company, the layoffs mainly focus on those areas where there are overlaps, such as research and development, regional sales organizations, as well as corporate functions. Nokia did not disclose how many jobs will be slashed globally. Also Read - Nokia X20, X10 India launch hinted by local website, could break into 5G handset marketAlso Read - Jio 5G service: Reliance Jio, Intel partner to develop 5G network for India
The mass redundancies are designed to meet the objective of 900 million Euros of operating cost synergies to be achieved in 2018 related to the acquisition of Alcatel-Lucent, said the company. Also Read - Nokia C20 Plus budget smartphone launched: Check specs, price and other details
Rajeev Suri, CEO of Nokia, said Nokia made a commitment to deliver 900 million Euros ($1.03 billion) in synergies when it announced the acquisition of Alcatel-Lucent. In January 2016, Nokia finalized the acquisition of his French- American rival Alcatel-Lucent.
“These actions are designed to ensure that Nokia remains a strong industry leader,” Suri said. “When we announced the acquisition of Alcatel-Lucent we made a commitment to deliver EUR 900 million in synergies – and that commitment has not changed. We also know that our actions will have real human consequences and, given this, we will proceed in a way that that is consistent with our company values and provide transition and other support to the impacted employees.”