Wednesday, April 27, 2011

Nokia announces 4000 job cuts and outsourcing 3000

The Finnish mobile phone giant Nokia announced on Wednesday, April 27, plans to cut four thousand jobs and outsource other three miles to the consulting group Accenture by the end of 2012. Nokia intends to outsource its work on the Symbian operating system of its smartphones. Three thousand employees of Nokia that are associated with this activity in Finland, China, India, Britain and the United States will become employees of U.S.

company Accenture on site. This part of the social plan should be completed before the end of 2011, according to a statement from Nokia. "In addition, Nokia plans to reduce its workforce by about four thousand employees by the end of 2012, most of these cuts to Denmark, Finland and Great Britain," said the Finnish group.

Such an announcement was expected since the Director General, Stephen Elop said in February that the group allied itself with Microsoft to use its operating system instead of Symbian. RAISE THE BAR IN THE MARKET FOR SMARTPHONES Last week, Nokia announced plans to reduce its operational costs by 1 billion euros by 2013 compared to 2010, by resorting to a restructuring plan and internal deletions posts.

"It is a painful reality, and we work alongside our employees and our partners to identify programs of re-hiring the long term for talented people from Nokia," said Elop in News Wednesday. Nokia's decision to abandon Symbian in favor of Microsoft system was dictated by the need to redress the balance in the lucrative market of smartphones by Apple over its competitors, RIM (Blackberry) and devices using Google Android .

The market share of Nokia fell to 29% in first quarter 2011, against 40% even after the first half of 2008.

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